Chart Industries Inc. has completed the acquisition of BlueInGreen LLC (BIG), a dissolved-gas expert providing custom-engineered solutions for water treatment and industrial process applications that delivers tangible economic, social and environmental value.
The stock purchase was completed for a purchase price of US$20 million in cash at closing (subject to customary adjustments), plus a potential earn-out not to exceed US$6 million in the aggregate.
The combination of Chart equipment and BlueInGreen’s technology enables solutions to efficiently deliver dissolved oxygen, carbon dioxide and ozone into water results in a full dissolution package for water treatment. Chart and BIG have long worked together, as Chart’s cryogenic storage and vaporisation equipment provides the feed gas to BIG’s technology. BIG’s core, gas-dissolution technology uses a common set of components and methods to serve a variety of applications in municipal and industrial end markets, whether for oxygenation, pH adjustment, oxidation or odour control. Not only does this solution consume 20% to 40% less gas than other alternatives for the same level of treatment, it delivers the solution with the smallest energy, carbon and physical footprint.
The Chart and BIG solution is and will be offered either through a Treatment-as-a-Service (TaaS) contract, capital sale, or a combination thereof via a la carte services, further building out our repair, service and leasing business.
In a statement, Chart said that its LNG products and hydrogen offering (‘Green is the new Blue’), coupled with BIG’s approach of ‘Do what you're BIG enough to do,’ positions the companies to support the increasing infrastructure buildout where water treatment facilities are accompanying clean energy power sources.
“In addition to this being a natural fit for us, we gain an experienced management team full of engineering and industry experts who are committed to staying with the business, “ stated Jill Evanko, Chart’s CEO and President. “Chris Milligan, CEO of BlueInGreen, will run the combined water treatment business and work closely with our global commercial and engineering teams as we further penetrate water treatment projects in both domestic and international markets. This is yet another step in our ability to leverage the unique opportunity that Chart has with hydrogen, LNG, and water working together to address sustainability, power and water needs.”
“We are thrilled to join Chart Industries’ portfolio of proven technologies and iconic brands,” said BlueInGreen CEO and President Chris Milligan, PE. “This partnership pairs BlueInGreen’s expertise with Chart’s global footprint, allowing for enhanced integration, increased response time and a more robust service fleet as we collectively bridge the gap between industrial gas and water markets,” Milligan continued. “While we are far from our startup days, our services, our technology, our team and our mission at BlueInGreen have not changed. We will always be BIG. But with Chart’s wealth of knowledge, relationships and resources, BIG just got a lot bigger.”
Chart said that it expects a steep growth curve to revenue of US$20 million in 2022 at 50% gross margin as a percent of sales. There will not be a material change to the company’s 4Q20 outlook as the result of this transaction.
Read the article online at: https://www.hydrocarbonengineering.com/the-environment/05112020/chart-industries-acquires-blueingreen-llc/