WEDECO AG Water Technology and Ideal Horizons to combine ultraviolet disinfection activities in North America
****** For Immediate Release ******
January 12, 2000
Poultney, VT - Ideal Horizons and WEDECO AG Water Technology (Duesseldorf, Germany) announced here today that they have agreed to combine their ultraviolet (UV) activities in North America. Under the terms of the agreement, Ideal Horizons will be acquired by WEDECO AG and merged with WEDECO's existing North American UV operations (WEDECO Inc. Water Technology). The combined business will operate under the name WEDECO Ideal Horizons, Inc.
The acquisition marks the first major transaction by WEDECO following its successful initial public offering on the Frankfurt Stock Exchange (Symbol: WDO) in October 1999. The merger marks the latest move in WEDECO's strategy to be the premiere UV technology company worldwide.
WEDECO AG was formed through a merger of the ultraviolet (UV) activities of WEDECO Umwelttechnologie Wasser-Boden- Luft GmbH, Herford, Germany and Katadyn Holding AG of Zurich, Switzerland. Its current (1999) annual sales volume of approx. US $ 31 million (DM 55 million) firmly positions WEDECO AG as Europe's UV disinfection market leader and No. 2 worldwide in sales volume.
WEDECO Ideal Horizons, Inc. will utilize Ideal Horizons's existing 60,000 square foot facility in Poultney, Vermont (USA). All design and project engineering, manufacturing, service, administration, marketing and sales support for North America will be handled from this location.
Jesse Rodriquez, President of Ideal Horizons, Inc. will manage the new entity as Vice President and Chief Operating Officer. Jesse has over 20 years of experience in the ultraviolet business. John Marrino, President of WEDECO Inc. Water Technology, will become President and Chief Executive Officer of WEDECO Ideal Horizons, Inc.
"Ideal Horizons strengths in the industrial, residential and low flow (< 3 MGD) municipal disinfection markets is complemented perfectly by WEDECO's strong presence and rapidly expanding market share in large municipal UV applications," commented Jesse Rodriguez. John Marrino added, "The high quality manufacturing capabilities that Ideal possesses, along with its' experienced staff and management team, perfectly suit WEDECO's expansion plans in North America. In addition, their residential and industrial business units are 100% complementary to WEDECO's existing North American presence. The synergies resulting from the combination of these businesses will provide an immediate and substantial positive impact to WEDECO's operations in North America."
Ideal Horizons was founded in 1983. The company quickly attained market leadership in North America for industrial process water UV disinfection systems as well as residential and commercial units for home and office use. Their commitment to modern manufacturing methods, quality assurance and customer service has enabled the company to maintain a high level of customer satisfaction while continually introducing new and innovative products to these markets.
WEDECO AG Water Technology is a European based, high technology ultraviolet concern. The company currently operates in more than 80 countries through directly owned as well as independent representative offices. According to its Chairman, Mr. Werner Klink, WEDECO has the organization and technology to secure a leading position within the expanding global market for ultraviolet water treatment. Expected growth of greater than 30 % per year should increase sales to approx. US $280 million (DM 500 million) by 2005. This includes US $83 million (DM 150 million) attained through select strategic acquisitions or mergers such as this one.