Waterco Limited completes acquisition of Davey Water Products
Strategic move aligns with long-term vision of becoming a leader in the Global Water Industry
Sydney, Australia, 1 September 2023 – Global water treatment and pool equipment manufacturer Waterco (ASX: WAT) (Company/Waterco) has completed the acquisition of Davey Water Products Pty Ltd (Davey) from GUD Holdings Limited (GUD).
“We are excited about the potential synergies between Waterco and Davey,” says Soon Sinn Goh, CEO of Waterco. “By working together, we believe we can create a stronger and more competitive water treatment and pool equipment business.”
Davey and Waterco are two leading Australian companies in the water treatment and swimming pool industries and the focus is now on discovering synergies and collaboration between the two companies.
“We believe this approach would be less disruptive than a full merger or integration, but will still lead to significant benefits for both companies,” Goh explains.
The company will focus on three key areas:
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Increased market share - Waterco and Davey are both leading players in pumps, water treatment and pool equipment market. By working together, these two businesses reach a larger customer base and open up new markets with its combined product portfolio
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Enhanced product offerings — Waterco and Davey have complementary product portfolios. The combined expertise of both companies in research and development will accelerate innovation and foster the development of premium differentiated products
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Improved operational efficiency — Waterco and Davey should improve their operational efficiency by sharing resources and best practices. This will lead to lower costs and better customer service.
Waterco is taking a long-term view of its investment in acquiring Davey. The company is committed to sustainable growth and believes that this acquisition will help it achieve its goals of becoming a global leader in the water technology industry.
"By adopting a long-range outlook, Waterco is positioning itself for success in the years to come," says Goh. “Davey is an iconic Australian brand; we are respectful of its long heritage and understand the need for careful planning and execution in order to minimise disruption to the company's operations and reputation.”
Davey has been manufacturing water pumps and other water treatment products in Australia for nearly 90 years, a tradition Waterco intends to keep.
“We are proud of its local manufacturing capabilities, which we believe are essential for the company's future success," Goh explains.
Davey has a team of experienced and skilled engineers and technicians who are dedicated to creating high-quality products that meet the needs of its customers.
Davey COO Peter Wolff says the company is confident that this combination will be successful.
“We are committed to working with Waterco to create a winning team and leverage the strength of both brands,” he says.
Image caption: The pump room at the Mandurah Aquatic and Recreation Centre in W.A. relies on
Waterco Micron Commercial Fibreglass Filters and Davey ISOspec Industrial Pumps.