The Munters Group (MTRS) has signed an agreement to acquire ZECO, an Indian manufacturer of air treatment solutions.
The Indian market for dehumidification solutions is characterized by attractive market fundamentals with solid growth in Munters prioritized industrial segments of Battery, Food processing and Pharma.
The combined offering of Munters and ZECO positions Munters to grow with market leading products and complete solution sales, according to Klas Forsström, president and CEO of Munters.
"ZECO is an excellent addition to Munters and constitutes an important step in developing our dehumidification business in India. I am very pleased to announce this agreement which supports Munters growth journey," Forsström said.
The company has three manufacturing facilities across north, west, and southern regions of India and a widespread network of sales offices across key regions in India, providing Munters with a strong platform for growth.
Munters Group president of AirTech and group vice president, Henrik Teiwik, said the acquisition adds complementary products to its core offer.
“With our combined product offering and extensive sales network, we will strengthen our position in several customer segments with strong growth in the Indian dehumidification market," he said.
The proposed acquisition will be fully financed through existing credit facilities. The privately owned company, ZECO Aircon Limited, established in 1989 and headquartered in Gurgaon, provides air treatment solutions to a customer base in India across various industries.
The deal is expected to be completed before year-end closing.