Industry News

A.O. Smith Corporation Completes Acquisition of Aquasana Inc

United States: A.O. Smith Corporation, a US based manufacturer of residential water purifiers, has acquired one of the leading water systems manufacturing company based in US, that is, Aquasana Inc. A.O. Smith Corporation has completed the acquisition of Aquasana Inc. from L Catterton for USD87 million on a debt/cash-free basis. In 2016, water treatment sales of Aquasana are expected to reach USD44 million, out of which, water treatment filters accounted for roughly 35% revenue share. Aquasana is involved in design, manufacture and marketing of water treatment systems including residential water treatment systems, drinking water systems and shower filters. The company products are sold in the United States through various sales channels, such as distributors, retail outlets and directly through company website.

TechSci Research depicts that the acquisition of Aquasana would help A.O. Smith to enhance their product portfolio as well as increase its product offering to existing customer base and to new geographies. This would further help the company to increase their presence in the global water purifiers market over the next five years.

According to the recently published report by TechSci Research, “Global Residential Water Purifiers Market By Technology, By Sales Channel, By Region, Competition Forecast and Opportunities, 2011 - 2021”, the global market for residential water purifiers is forecast to grow at a CAGR over 15% during 2016-2021, on account of deteriorating water quality and increasing awareness regarding health risks posed by presence of dissolved solids in drinking water. Growing urban population coupled with rising purchasing power of consumers across the globe is expected to augment demand for water purifiers from the residential sector through 2021. Additionally, increasing penetration of water purifiers in the emerging economies in Asia-Pacific over the next five years is also expected to be a major contributor to the robust growth in demand for residential water purifiers in the coming years. Furthermore, continuing increase in adoption of advanced purification technologies is forecast to steer growth in the global residential water purifiers market through 2021.

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