Ingersoll Rand Expands Technology into Sustainable Hydroponically-Based Agriculture with Acquisition of Dosatron International
- Established and respected leader in delivering solution-driven applications that include Ingersoll Rand owned Dosatron technology, focused on non-electric, water powered dosing pumps for applications in high growth sustainable markets such as hydroponics, animal health, food safety and sanitation, and water treatment
- Expands Ingersoll Rand’s digital technology portfolio and establishes market leadership in nutrient delivery for fast growing Controlled Environment Agriculture (CEA) and hydroponics market
- Attractive upfront adjusted EBITDA purchase multiple of approximately 10x, which is reduced by more than two turns through synergy realization by year three
DAVIDSON, N.C.–(BUSINESS WIRE)–Ingersoll Rand Inc. (NYSE:IR), a global provider of mission-critical flow creation and industrial solutions, has acquired Dosatron International L.L.C. and Dilution Solutions L.L.C. (collectively, “Dosatron International”) for an all-cash upfront purchase price of approximately $90 million, with additional future consideration of up to $15 million.
Based in Clearwater, Fla., Dosatron International is a leading technology solutions provider of water powered dosing pumps and systems in North America, with an established presence in attractive end markets including hydroponics, horticulture, animal health, food safety and sanitation, and water treatment. The company has approximately 45 employees and will join Ingersoll Rand’s Precision and Science Technologies (PST) segment.
Dosatron International is a highly regarded, customer-centric company and a leader in innovation. It brings differentiated digital controls and Industrial Internet of Things (IIoT) solutions for hydroponics, which can be leveraged across the broader Ingersoll Rand portfolio.
“Our Dosatron brand is a global leader in energy efficient, water-powered dosing technology that plays at the nexus of clean and sustainable farming. This acquisition will enable us to more closely align our new product development with end user needs,” said Vicente Reynal, chairman and chief executive officer of Ingersoll Rand. “Dosatron International has extremely strong customer relationships in growing end markets like indoor farming and has developed unique IIoT solutions and systems to serve these customers. We see significant opportunity to introduce other Ingersoll Rand product lines including Maximus, Ion Solutions and LMI to these markets and customers.”
“We’re thrilled to combine our efforts with Ingersoll Rand to move the company’s legacy forward. This transaction provided the best combination of benefits for our most important stakeholders, our customers, and our employees,” said Eddy and Lela Kelly, co-founders of Dosatron International.
About Ingersoll Rand Inc.
Ingersoll Rand Inc. (NYSE:IR), driven by an entrepreneurial spirit and ownership mindset, is dedicated to helping make life better for our employees, customers and communities. Customers lean on us for our technology-driven excellence in mission-critical flow creation and industrial solutions across 40+ respected brands where our products and services excel in the most complex and harsh conditions. Our employees develop customers for life through their daily commitment to expertise, productivity and efficiency. For more information, visit www.IRCO.com.
Forward-Looking Statements
This news release contains “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995, including but not limited to, statements that relate to our intent to acquire Air Dimensions Inc., the expected benefits of the proposed transaction, the timing of the transaction and the outcome of anticipated revenue and synergy opportunities. These forward-looking statements are based on Ingersoll Rand’s current expectations and are subject to risks and uncertainties, which may cause actual results to differ materially from these current expectations. Such risks and uncertainties, include, but are not limited to: our ability to timely obtain, if ever, necessary regulatory approvals of the proposed transaction; adverse effects on the market price of our common stock and on our operating results because of our inability to timely complete, if ever, the proposed transaction; our ability to fully realize the expected benefits of the proposed transaction; negative effects of announcement or consummation of the proposed transaction on the market price of the company’s common stock; significant transaction costs and/or unknown liabilities; general economic and business conditions that may impact the companies in connection with the proposed transaction; unanticipated expenses such as litigation or legal settlement expenses; changes in capital market conditions; the impact of the proposed transaction on the company’s employees, customers and suppliers; and the ability of the companies to successfully integrate operations after the transaction. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Additional factors that could cause Ingersoll Rand’s results to differ materially from those described in the forward-looking statements can be found under the section entitled “Risk Factors” in its most recent annual report on Form 10-K filed with the Securities and Exchange Commission (“SEC”), as such factors may be updated from time to time in its periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. The foregoing list of important factors is not exclusive.
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