- Australian-Singaporean water treatment company, De.mem has invested A$915,000 in German-based company Geutec (Geutec)
- The purchase will gift De.mem a 75 per cent interest holding in the industrialist-water treatment company — which services over 100 clients across small-and-medium enterprises
- At the end of December last year, Geutec recorded $1.8 million in revenue across 12 months of business
- Since announcing the purchase today, shares in De.mem have rocketed 9.62 per cent to trade at 28.5 cents a share.
Water treatment company De.mem has expanded its business into Germany today with a majority shareholding of another water treatment company.
De.mem purchased 75 per cent in Geutec GmbH (Geutec), based in Essen, Germany for roughly A$915,000 in cash.
“Geutec’s chemicals-based water and wastewater treatment solutions are highly synergistic to our membrane products,” De.mem Group CEO Andreas Kroell said.
“The acquisition of [Geutec] provides a logical expansion of De.mem’s product range into the supply of industrial chemicals for water and wastewater treatment.”
Geutec has a history of treating industrial wastewater for over 30 years.
The German company develops, manufactures, and sells chemical-based products for the treatment of industrial wastewater.
De.mem management stated today that its existing customer base, particularly in the mining sector, have previously expressed interest in Geutec sold products.
“Furthermore, the acquisition further diversifies our revenues and provides growth options in the German and European industrial wastewater treatment markets,” Andreas Kroell added.
Since announcing the purchase today, shares in De.mem have rocketed 9.62 per cent to trade at 28.5 cents a share.
“We look forward to becoming part of the De.mem Group with its innovative membrane-based products,” Geutec Founder and Managing Director Uwe Graessel said.
“Our existing customers can benefit from the wider De.mem product offering and we look forward to supplying our innovative chemicals solutions to De.mem’s customers globally.”
Today, Geutec is servicing over 100 small-and-medium enterprises. At the end of December last year, the company recorded roughly $1.8 million in revenue across 12 months of business.
“We see significant opportunities given the extended range of products and capabilities,” Uwe Graessel concluded.