Valmet acquires Siemens' Process Gas Chromatography business
Published by Bella Weetch,
Editorial Assistant
Hydrocarbon Engineering,
On 14 July 2023, Valmet entered into an agreement to acquire the Process Gas Chromatography business of Siemens AG. The value of the acquisition is €102.5 million on a cash and debt-free basis subject to customary adjustments. The acquisition is estimated to be completed on 1 April 2024, at the earliest, upon completion of carve-out measures and customary closing conditions.
The Process Gas Chromatography business of Siemens AG is a market leader with its Maxum II Gas Chromatograph platform, Systems Integration, and Customer Services offering. Gas chromatographs are used to measure the chemical composition in gases and evaporable liquids in all stages of production. With process knowledge in chemicals, LNG, refining and biofuels, the business provides critical process insights to support its customers in ensuring and improving quality, sustainability and safety worldwide.
In 2022, net sales of the business amounted to approximately €120 million and pro-forma adjusted EBITDA margin was approximately 10%. The business employs around 300 people, and its main locations are in the US, Germany and Singapore.
The acquisition is in line with Valmet's strategy, and will further strengthen Valmet's automation segment and process automation offering with process industry gas chromatograph and process analyser systems offering. It also strengthens Valmet's Automation Systems business footprint in North America, Asia-Pacific, and Europe. Valmet and Siemens will work closely together over the coming months to ensure a smooth transition, thereby maintaining a strong customer orientation and operational continuity. The acquired business is planned to be integrated into Valmet's Automation Systems business line as a separate business unit.
"Siemens' Process Gas Chromatograph Maxum II products, systems and services offering complements well Valmet's existing automation offering, industry reach and expertise. The Maxum brand is widely known in process industries and the products are used extensively by the world's leading industrial customers. Also, the large installed base provides further service opportunities and business stability. The business is planned to form a globally-lead business unit within the Automation Systems business line and has a joint customer base also with Valmet's Flow Control business line. With this setup, supported by Valmet's strong functions, we see opportunities for further profitable growth in this business. We look forward to welcoming the new colleagues from Siemens to Valmet," says Emilia Torttila-Miettinen, President, Automation Systems business line.
"Today marks a new chapter in our 60+ year history of providing world-class gas chromatography products, solutions, and services to process industry customers around the world. By joining the Valmet team, we are excited to be partnering with an organisation that shares many synergies with our Gas Chromatography and Integration business and a clear focus on employees and customers. We all are looking forward to exploring the many positive opportunities this partnership can bring going forward," says Glen Irving, CEO, Siemens Gas Chromatograph & Integration Business.
Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/18072023/valmet-acquires-siemens-process-gas-chromatography-business/
You might also like
AMETEK Land helps ethylene producer improve and optimise furnace operations
AMETEK Land has provided a large US ethylene producer with 28 thermal imagers to provide continuous temperature measurements for optimum process control in its four cracking furnaces.