Wärtsilä to acquire Puregas Solutions

Wärtsilä Corporation, Press release, 4 October 2017 at 9.30 am EEST

The technology group Wärtsilä has reached an agreement to acquire Puregas Solutions, the Sweden based provider of turnkey biogas upgrading solutions. Puregas is a leading player in its field with subsidiary companies in Germany, Denmark, the U.K., and the USA. The company utilises a unique CApure process to convert raw biogas to biomethane and renewable natural gas. The transaction is valued (enterprise value) at SEK 280m (EUR 29m) with an additional maximum sum of SEK 70m (EUR 7.3m) to be paid based on the performance of the business in the coming year.

The acquisition will provide Wärtsilä with added equipment and expertise in biogas upgrading, and will complement well the company's existing position in the biogas liquefaction market. In the larger context, Puregas Solutions' offering is in close alignment with Wärtsilä's own gas based technologies, and the merging of the two companies will expand Wärtsilä's overall reach in the gas value chain.

"We are acquiring a company with technical know-how, good references, and a strong market position. It provides us, therefore, with a good platform to expand our offering and support our customers with complementary biogas upgrading and liquefaction solutions," says Timo Koponen, Vice President, Flow & Gas, Marine Solutions.

"Puregas Solutions has grown successfully in recent years and we have now reached the point where it makes sense to achieve further growth through joining forces with a truly global technology specialist. Wärtsilä is a company with a similar philosophy towards creating customer value as our own, and we look forward to an exciting future together," says Jan Molin, CEO, Puregas Solutions.

The renewable Natural Gas market is closely aligned to Wärtsilä's core business in gas solutions, and is expected to achieve solid growth going forward. In 2016, Puregas Solutions' turnover was SEK 200m (EUR 21m) and the profitability level was good. The company currently has about 40 employees.

Media contacts:

Mr Timo Koponen
Vice President, Flow and Gas Solutions
Wärtsilä Marine Solutions
Tel: ++44 1202 662600
timo.koponen@wartsila.com

Ms Marit Holmlund-Sund
Senior Manager Marketing, Communications, Marine Solutions
Wärtsilä Corporation
Tel: +358 10 709 1439
marit.holmlund-sund@wartsila.com

Wärtsilä in brief:
Wärtsilä is a global leader in advanced technologies and complete lifecycle solutions for the marine and energy markets. By emphasising sustainable innovation and total efficiency, Wärtsilä maximises the environmental and economic performance of the vessels and power plants of its customers. In 2016, Wärtsilä's net sales totalled EUR 4.8 billion with approximately 18,000 employees. The company has operations in over 200 locations in more than 70 countries around the world. Wärtsilä is listed on Nasdaq Helsinki.
https://www.wartsila.com/