About This Deal

A. O. Smith Corporation acquired Aquasana, Inc. for $87 million in cash (on a debt/cash-free basis; subject to net working capital adjustment), a transaction completed in August 2016, structured as all cash.

Aquasana, Inc. operates in North America Water Treatment, is based in Texas, USA. A. O. Smith acquired Texas-based Aquasana, Inc. from consumer-focused private equity firm L Catterton for $87 million in cash. Aquasana designs, assembles and markets premium water-treatment products — whole-house treatment systems, drinking-water solutions and shower filters — sold directly to U.S. consumers online as well as through retail outlets and distributors. The deal marked A. O. Smith's entry into the North American water-treatment market.

Fits A. O. Smith's stated strategy to expand core product offerings into new geographies with growth opportunity; addresses evolving U.S. consumer water-quality needs and is a first step to bringing reverse-osmosis technology to consumers.

Deal Terms

Acquirer
A. O. Smith Corporation
Target
Aquasana, Inc.
Value
$87 million in cash (on a debt/cash-free basis; subject to net working capital adjustment)
Date
August 2016
Type
Full acquisition
Status
Ready

Transaction Details

Target HQ
Texas, USA
Segment
North America Water Treatment
Structure
All cash
Announced
August 8, 2016
Closed
August 8, 2016

In Their Words

This acquisition fits squarely within our stated strategy to expand our core product offerings to new geographies that present growth opportunities... Aquasana’s products today address a full range of water quality issues and acquiring Aquasana is a significant first step to bringing our industry-leading reverse osmosis water treatment technology and innovative product development capabilities to the large and growing U.S. market.Ajita G. Rajendra, Chairman and Chief Executive Officer, A. O. Smith Corporation

Advisors

Advisory firms were not disclosed for this transaction.

Related Deals & Entities

Sources: Press release ↗ · SEC filing ↗

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