Bilfinger sells Water Technologies division to Chengdu Techcent Environment Group
February 06, 2016
- Focus on core business
- Net proceeds from the sale of approximately €200 million
- Significant cash inflow in first quarter
The engineering and services group Bilfinger is selling its Water Technologies division. The buyer is Chinese company Chengdu Techcent Environment Group which has been active in the water technology sector for many years. The agreement was signed today.
After deducting transaction-related expenses, Bilfinger’s net proceeds from the sale will amount to approximately €200 million. Subject to the necessary approval from the responsible anti-trust authorities, the transaction should be concluded in the first quarter of 2016 and the net proceeds from the sale will flow to Bilfinger as additional liquidity.
In the course of its strategic repositioning, Bilfinger had announced that it would review its portfolio. In this connection, a number of strategic options for the Water Technologies division were looked at as part of a market evaluation, with the result that a sale offered the best possible perspectives over the long term.
“We are pleased that our successful water business has found such a financially strong and long-term oriented buyer”, says Executive Board Chairman Per H. Utnegaard. “The move to a company in which water technology is the focus of business operations opens up excellent development prospects for Water Technologies.”
In the Water Technologies division, about 1,600 employees generated an output volume of approximately €300 million in 2015.