Ingersoll Rand acquires SSI Aeration, enhancing wastewater treatment capabilities for increased energy efficiency and growth opportunities.
Quiver AI Summary
Ingersoll Rand Inc. has acquired SSI Aeration, Inc., a global leader in wastewater treatment equipment, as part of its strategy to enhance capabilities in this high-growth sector. The acquisition, valued at approximately 10 times the projected 2024 Adjusted EBITDA, is expected to improve energy efficiency and productivity for customers by combining SSI's innovative aeration solutions with Ingersoll Rand’s technologies. SSI, with annual revenues around $30 million and manufacturing facilities in the U.S., South Korea, and India, will become part of Ingersoll Rand's Industrial Technologies and Services segment. This move is aimed at accelerating growth in municipal markets and demonstrates Ingersoll Rand’s commitment to inorganic growth as part of its 2025 strategy.
Potential Positives
- Acquisition of SSI Aeration, Inc. enhances Ingersoll Rand's capabilities in the growing wastewater treatment market.
- Enables the company to offer comprehensive and energy-efficient wastewater treatment solutions, boosting customer productivity.
- Access to municipal markets presents opportunities for accelerated topline growth.
- The acquisition occurred at an attractive purchase multiple of approximately 10x 2024E Adjusted EBITDA, indicating a sound financial strategy.
Potential Negatives
- The acquisition of SSI Aeration, which generates approximately $30 million in annual revenue, may not significantly impact Ingersoll Rand’s overall financial performance given the size of the acquisition relative to the company's larger operations.
- The forward-looking statements in the release highlight various risks and uncertainties that could negatively affect the anticipated benefits of the acquisition, including the ability to achieve revenue and cost synergies.
- Potential challenges related to retaining and hiring key personnel post-acquisition could hinder the successful integration of SSI into Ingersoll Rand's operations.
FAQ
What company did Ingersoll Rand acquire for wastewater treatment?
Ingersoll Rand acquired SSI Aeration, Inc. and its subsidiaries to enhance its wastewater treatment capabilities.
How will the acquisition impact customers?
The acquisition allows Ingersoll Rand to provide more comprehensive and energy-efficient wastewater treatment solutions, improving productivity for customers.
What is the expected financial outlook for the acquisition?
The acquisition was completed at an attractive purchase multiple of approximately 10x 2024E Adjusted EBITDA, reflecting healthy financial prospects.
What technologies will Ingersoll Rand combine with SSI's offerings?
Ingersoll Rand plans to combine low-pressure compressors with SSI’s aeration products to provide a complete end-to-end solution.
What growth strategies does Ingersoll Rand emphasize in 2025?
Ingersoll Rand focuses on inorganic growth and strategic acquisitions to optimize solutions and accelerate growth in the wastewater treatment market.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$IR Insider Trading Activity
$IR insiders have traded $IR stock on the open market 8 times in the past 6 months. Of those trades, 0 have been purchases and 8 have been sales.
Here’s a breakdown of recent trading of $IR stock by insiders over the last 6 months:
- VICENTE REYNAL (See Remarks) sold 50,000 shares for an estimated $4,625,300
- ANDREW R SCHIESL (See Remarks) has made 0 purchases and 3 sales selling 48,255 shares for an estimated $4,467,316.
- ELIZABETH MELOY HEPDING (See Remarks) sold 7,500 shares for an estimated $685,650
- KATHLEEN M. KEENE (See Remarks) has made 0 purchases and 2 sales selling 4,674 shares for an estimated $420,672.
- MICHAEL J SCHESKE (VP, Chief Accounting Officer) sold 2,531 shares for an estimated $246,620
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$IR Hedge Fund Activity
We have seen 377 institutional investors add shares of $IR stock to their portfolio, and 375 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- CAPITAL INTERNATIONAL INVESTORS added 4,186,644 shares (+13.6%) to their portfolio in Q3 2024, for an estimated $410,960,975
- FRANKLIN RESOURCES INC added 3,086,096 shares (+27.3%) to their portfolio in Q3 2024, for an estimated $302,931,183
- PRICE T ROWE ASSOCIATES INC /MD/ removed 1,973,837 shares (-9.2%) from their portfolio in Q3 2024, for an estimated $193,751,839
- DZ BANK AG DEUTSCHE ZENTRAL GENOSSENSCHAFTS BANK, FRANKFURT AM MAIN removed 1,934,824 shares (-79.0%) from their portfolio in Q3 2024, for an estimated $189,922,323
- CAPITAL WORLD INVESTORS added 1,905,772 shares (+10.6%) to their portfolio in Q3 2024, for an estimated $187,070,579
- FMR LLC added 1,538,056 shares (+10.5%) to their portfolio in Q3 2024, for an estimated $150,975,576
- JPMORGAN CHASE & CO added 1,462,538 shares (+8.7%) to their portfolio in Q3 2024, for an estimated $143,562,730
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
- Acquisition extends company’s capabilities in wastewater treatment, a key high-growth, sustainable end market
- Enables Ingersoll Rand to provide more comprehensive wastewater treatment solutions, allowing for greater energy efficiency and increased productivity for customers
- Creates opportunities to accelerate topline growth through access to municipal markets
- Attractive purchase multiple of approximately 10x 2024E Adjusted EBITDA
DAVIDSON, N.C., Feb. 03, 2025 (GLOBE NEWSWIRE) -- Ingersoll Rand Inc., (NYSE: IR) a global provider of mission-critical flow creation and life science and industrial solutions, has acquired SSI Aeration, Inc. and its subsidiaries (collectively “SSI”) to extend its capabilities in wastewater treatment.
SSI is a global leader in the design and manufacturing of wastewater treatment plant equipment with approximately $30 million in annual revenue. Its product portfolio is focused on innovative and energy-efficient engineered membrane diffusers including fine bubble diffusers, coarse bubble diffusers, and aeration systems. The acquisition will enable Ingersoll Rand to combine several technologies like low pressure compressors with SSI’s aeration offerings to provide a comprehensive, end-to-end solution. With manufacturing facilities in the United States, South Korea, and India, SSI will join the Industrial Technologies and Services segment (IT&S).
“Inorganic growth remains a key part of our company’s overall growth strategy in 2025,” said Vicente Reynal, chairman and chief executive officer of Ingersoll Rand. “We look at potential acquisitions through the lens of how they will help us optimize our solutions, and we look forward to growing our presence in the wastewater treatment market with the addition of SSI.”
About Ingersoll Rand Inc.
Ingersoll Rand Inc. (NYSE:IR), driven by an entrepreneurial spirit and ownership mindset, is dedicated to Making Life Better for our employees, customers, shareholders, and planet. Customers lean on us for exceptional performance and durability in mission-critical flow creation and life science and industrial solutions. Supported by over 80+ respected brands, 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” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related to Ingersoll Rand Inc.’s (the “Company” or “Ingersoll Rand”) expectations regarding the performance of its business, its financial results, its liquidity and capital resources and other non-historical statements. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “forecast,” “outlook,” “target,” “endeavor,” “seek,” “predict,” “intend,” “strategy,” “plan,” “may,” “could,” “should,” “will,” “would,” “will be,” “on track to” “will continue,” “will likely result,” “guidance” or the negative thereof or variations thereon or similar terminology generally intended to identify forward-looking statements. All statements other than historical facts are forward-looking statements.
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. 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. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) adverse impact on our operations and financial performance due to natural disaster, catastrophe, global pandemics (including COVID-19), geopolitical tensions, cyber events or other events outside of our control; (2) unexpected costs, charges or expenses resulting from completed and proposed business combinations; (3) uncertainty of the expected financial performance of the Company; (4) failure to realize the anticipated benefits of completed and proposed business combinations; (5) the ability of the Company to implement its business strategy; (6) difficulties and delays in achieving revenue and cost synergies; (7) inability of the Company to retain and hire key personnel; (8) evolving legal, regulatory and tax regimes; (9) changes in general economic and/or industry specific conditions; (10) actions by third parties, including government agencies; and (11) other risk factors detailed in Ingersoll Rand’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”), as such factors may be updated from time to time in its periodic filings with the SEC, which are available on the SEC’s website at http://www.sec.gov . The foregoing list of important factors is not exclusive.
Any forward-looking statements speak only as of the date of this release. Ingersoll Rand undertakes no obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.
Contacts:
Investor Relations:
[email protected]
Media:
[email protected]