Technology group Wärtsilä has reached an agreement to acquire Puregas Solutions, a Sweden based provider of turnkey biogas upgrading solutions.
Puregas has subsidiary companies in Germany, Denmark, the UK and the USA. The company utilises a unique process to convert raw biogas to[ds_preview] biomethane and renewable natural gas. The transaction is valued (enterprise value) at 280 mill. SEK (29 mill. €) with an additional maximum sum of 70 mill. SEK (7.3 mill. €) to be paid based on the performance of the business in the coming year.
The acquisition will provide Wärtsilä with added equipment and expertise in biogas upgrading, and will complement the company’s current position in the biogas liquefaction market. In the larger context, Puregas Solutions’ offering is in close alignment with Wärtsilä‘s own gas based technologies, and the merging of the two companies will expand Wärtsilä‘s overall reach in the gas value chain.
Wärtsilä‘s expects the renewable natural gas market to achieve solid growth going forward. In 2016, Puregas Solutions‘ turnover was 200 mill. SEK (21 mill. €) and the profitability level was good. The company currently has about 40 employees.
