Waterco Limited completed the acquisition of Davey Water Products Pty Ltd. from GUD Holdings Limited.
September 01, 2023
Share
Waterco Limited (ASX:WAT) signed a share sale agreement to acquire Davey Water Products Pty Ltd. from GUD Holdings Limited (ASX:GUD) for an enterprise value of AUD 64.9 million on August 5, 2023. Under the terms, enterprise value of AUD 64.9 million is before estimated customary net working capital (NWC) and net debt type adjustments. The net cash proceeds, post customary net working capital and net debt type adjustments, and consideration of a deferred vendor payment of AUD 1.25 million are expected to be approximately AUD 56 million. Waterco will finance the acquisition through bank loans. There are no changes in the composition of the Board and management of Waterco as a result of the acquisition. Under the terms of the agreement, completion will take place upon fulfilment of certain conditions precedent that are customary for a transaction of this nature. The acquisition does not require security holders? approval and the parties expect that completion will take place on September 1, 2023. The proceeds from the sale will be used to further pay down debt. Andrew Clyne of Herbert Smith Freehills acted as legal advisor to Davey Water & GUD Holdings Limited.
Waterco Limited (ASX:WAT) completed the acquisition of Davey Water Products Pty Ltd. from GUD Holdings Limited (ASX:GUD) on September 1, 2023. Andrew Clyne of Herbert Smith Freehills acted as a legal advisor to GUD Holdings Limited. PwC Legal acted as legal advisor to Waterco Limited.
Waterco Limited is an Australia-based company. The Company is engaged in designing and manufacturing, filtration and sanitization for the swimming pool, spa, aquaculture, and water purification sectors. The Company's geographical segments include Australia and New Zealand, Asia, and North America and Europe. The Company offers wholesale, export and manufacture of equipment and accessories in the swimming pool, spa pool, spa bath, rural pump, and water treatment industries. It is also focused on manufacturing and selling solar heating systems for swimming pools and pre-heated industrial solar systems. It also operates as a franchisor of swimming pool outlets retailing swimming pool accessories and equipment. The Company is also focused on formulating, packing, and distributing swimming pool chemicals to independent pool stores and stores in its Swimart franchise network.