April 9, 2007: Munters Acquires Des Champs Technologies
April 9, 2007
SELMA, Texas - Munters has entered into an agreement to acquire Des Champs Technologies, Buena Vista, Va., a leader in air treatment solutions, complementing Munters dehumidification product range. The company employs approximately 200 people with projected 2007 revenue of $38 million.
Des Champs principally manufactures custom air conditioning equipment for commercial buildings based on its expertise in heat exchangers, dehumidification, and indirect evaporative cooling. Des Champs also manufactures industrial heat exchangers. With this acquisition, Munters said it significantly strengthens its position as a leading supplier of energy-efficient climate control solutions for commercial buildings.
"Des Champs provides an exceptional fit with our Commercial Business Area within the Dehumidification Division," said Mike McDonald, president, Dehumidification Division. "This expansion aligns with our strategy as an innovation leader in energy-efficient indoor air quality solutions for our customers. The acquisition enhances our expertise in energy recovery and indirect evaporative cooling, where Des Champs holds a technology-leading position. The broader product range and technology integration opportunities with our unique energy-efficient cooling and dehumidification products will allow our joint customers the opportunity to further reduce their energy consumption. It also enables us to provide solutions for all climates, significantly increasing our sales potential in a growing market."
McDonald added that Des Champs offers a full range of technologies for energy-efficient packaged systems with plate-type and heat pipe heat exchangers, sensible and total energy recovery wheels, polymer tube indirect evaporative coolers, and welded industrial heat exchangers.
According to Munters, the combined business is expected to accelerate growth through synergies in product integration, technology, and distribution. In addition, cost reductions in purchasing, manufacturing, and administration are anticipated. Des Champs' present management team will remain.
Munters has entered into an agreement to acquire 100 percent of the shares in Entrodyne Corp., the holding company of Des Champs Technologies, for approximately $37 million in cash. The transaction is expected to close shortly. The impact on Munters' consolidated earnings per share is anticipated to be positive in 2007.
For more information, visit www.munters.us.
Publication date: 04/09/2007