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Air quality solutions specialist Volution has completed the €23.4 million acquisition of heat exchanger cells manufacturer Energy Recovery Industries (ERI).
A further contingent cash consideration of up to €12.4 million based on stretching targets for the financial results for the year ending 31 December 2023 could be paid.
The transaction has been funded from existing cash and the group's sustainability-linked revolving credit facility.
For the financial year ended 31 December 2020, ERI generated revenue of €11.3 million and profit before tax of €2.0m, with gross assets of €7.6m. Revenue is growing at double digit rates in calendar year 2021 and the acquisition is expected to be immediately earnings accretive for Volution.