Water technology firm Xylem has agreed to acquire Canada-based Pure Technologies in a $397m deal.
Pure Technologies delivers diagnostic and analytics solutions and services based on proprietary technologies to address water and wastewater infrastructure challenges.
Headquartered in Calgary, Alberta, Pure employs about 500 people worldwide.
The company offers intelligent leak detection and condition assessment solutions for water distribution networks.
Both the companies formed an exclusive commercial partnership earlier this year, with Xylem representing Pure Technologies’ products and services in parts of the Middle East, India and Southeast Asia.
Pure Technologies’ consolidated revenue and adjusted earnings before interest, taxes, depreciation and amortization was C$126m ($97m) and C$21m ($16.3m), respectively, for the 12 months ending 30 September 2017.
Xylem said it expects to achieve about $12m in annual cost synergies within two years of closing.
Xylem president and CEO Patrick Decker said: “Pure’s solutions strongly complement the broader Xylem portfolio, particularly our recently acquired Visenti and Sensus solutions, creating a unique and disruptive platform of diagnostic, analytics and optimization solutions for clean and wastewater networks.
“Pure will also bring greater scale to our growing data analytics and software-as-a-service capabilities. As one company, we will provide customers with even more powerful and innovative solutions enabled by cutting-edge technologies.”
Pure Technologies president and CEO Jack Elliott said: “Following this transaction, as we become part of a larger, global enterprise, we will be even better positioned to make a meaningful impact in solving the world’s most pressing water and infrastructure challenges.”
Headquartered in Rye Brook, New York, Xylem develops innovative technology solutions to the world’s water challenges.