8 March 2017
GE Water is a worldwide leading systems
and services provider for industrial clients,
supplying state‐ of‐the art water, waste‐water
and process systems solutions
to blue‐chip customers.
GE Water generated
~$2.1Bn revenues in 2016
with 7,500 highly‐skilled salesmen
and engineers with strong digital capabilities.
Solving the toughest water and process challenges
wherever they occur
We bring together experienced professionals and advanced technologies
to solve the world's most complex challenges
related to water scarcity, quality, productivity, the environment and energy.
DETAILS
Today SUEZ announces that, together with
Caisse de dépôt et placement du Québec (“CDPQ”),
it has entered into a binding agreement
to purchase
GE Water & Process Technologies (“GE Water”)
from General Electric Company
for €3.2Bn1 enterprise value
in an all‐cash transaction.
The transaction, unanimously approved by
the Board of SUEZ,
combines two complementary players,
covering the entire value chain
making SUEZ a leader in water resource management.
It enhances SUEZ’ long term profitable growth,
and offers an unparalleled value proposition
to SUEZ shareholders:
Broadened accessto industrial clients,
with significantscale up effect boosting
go‐to‐market capabilities and sales force
Strengthened international footprint
in key geographies,
notably in the US and emerging markets,
reinforcing the group’s position
in a fast growing addressable
market of c. €95Bn worldwide
Increased innovation capabilities
to deliver performing solutions,
with a worldwide network of R&D centres,
a large portfolio of patents
and a cutting‐edge digital platform “InSight”
Expected to generate significant cost
and revenue synergies
EPS accretive and positive free cash flow
from year one ;
Double‐digit EPS accretion
based on run‐rate cost‐synergies
Bridge financing fully secured, to be refinanced
through a capital increase of
c. €0.75Bnand a combination of long‐term senior
and hybrid bonds.
SUEZ main shareholders Engie,
CriteriaCaixa and Caltagirone Group
already confirmed their intent to participate in
the capital increase for their pro rata share.
Fully aligned with the Group’sfinancial discipline,
transaction to maintain
strong investment grade rating profile
Jean‐Louis Chaussade,
CEO of SUEZ
“I am very proud to announce
the acquisition of GE Water,
which will accelerate the implementation
of SUEZ’ strategy by strengthening its position
in the promising and fast‐growing
industrial water market.
This combination will create further value
for both our employees, clients and shareholders.
Clients will benefit from the combined knowledge,
expertise, geographic footprint
and leading edge products
and services available.
The transaction will also deliver strong value
to our shareholders by enhancing
SUEZ’ profitable growth profile.
I look forward to integrating
GE Water’s highly skilled staff
to our teams to form
an unparalleled industrial water platform.
We are also thrilled to join forces with CDPQ,
which shares our long term vision
for our business.”
CONTACTS
Press +33 1 58 81 54 73
WWW.CHEMWINFO.COM BY KHUN PHICHAI
