About This Deal

A. O. Smith Corporation acquired Hague Quality Water International for $43.1 million (aggregate cash purchase price, net of $4.1 million cash acquired; plus contingent payment of up to $2.0 million), a transaction completed in September 2017, structured as all cash.

Hague Quality Water International operates in North America Water Treatment, is based in Ohio, USA. A. O. Smith acquired 100 percent of the shares of Hague Quality Water International, an Ohio-based water-softener company, expanding its North America water-treatment platform. Per A. O. Smith's FY2017 Form 10-K, the aggregate cash purchase price was $43.1 million (net of $4.1 million of cash acquired), representing a multiple of approximately eight times EBITDA, with a contingent earn-out of up to $2.0 million.

Expansion of A. O. Smith's North America water-treatment platform through the water quality dealer channel.

North America segment

Deal Terms

Acquirer
A. O. Smith Corporation
Target
Hague Quality Water International
Value
$43.1 million (aggregate cash purchase price, net of $4.1 million cash acquired; plus contingent payment of up to $2.0 million)
Date
September 2017
Type
Full acquisition
Status
Ready

Transaction Details

Target HQ
Ohio, USA
Segment
North America Water Treatment
Structure
All cash
Announced
September 5, 2017
Closed
September 5, 2017

In Their Words

On September 5, 2017, the Company acquired 100 percent of the shares of Hague Quality Water International (Hague), an Ohio-based water softener company.A. O. Smith FY2017 Form 10-K, Acquisitions note

Advisors

Advisory firms were not disclosed for this transaction.

Related Deals & Entities

Sources: Press release ↗

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