- Mergers & Acquisitions
Dorf Ketal announces acquisition of Fluid Energy business unit
Dorf Ketal FZE, a wholly owned subsidiary of Dorf Ketal Chemicals India Private Limited, announced the acquisition of Fluid Energy Group’s global Modified and Synthetic acid business including the Triton industrial business.
Based in Calgary, Alberta, Canada, Fluid Energy Group’s global Modified and Synthetic acid business had a turnover of approximately CAD80 million (USD59.6 million) in 2022. The company has a patented product line with applications across a wide range of industries, including Water Treatment, Energy and Petroleum, Mining, Industrial, Consumer, and Food & Beverage.
The technology strongly aligns with Dorf Ketal’s global ESG focus, and the acquired business has a significant impact on improving HSE profile, greatly reducing Water Consumption and CO2 emissions from operations, all while greatly reducing or eliminating the risks associated with storing, transporting, and handling strong mineral acids. The acquired company will operate as Fluid Energy Limited, a corporation incorporated under the laws of the province of Alberta, Canada.
“This acquisition will bring additional strategic assets, innovative new technology, talented people, and strong customer relationships into Dorf Ketal,” said Subodh Menon, founder, director – Business and Operations, of Dorf Ketal Chemicals India Private Limited. “It will enable our continued sustainable global growth, aligning with our global focus on improving the environmental impact of our business and our customers’ operations and commitment to providing innovative services across a wide range of industries.”
“This strategic divestment aligns with the future development and repositioning of the Fluid Energy Group into a leading sustainable chemistry supplier,” said Clay Purdy, chief executive officer and chairman. “We will continue our journey bringing new technologically advanced and innovative sustainable chemistries across the biofuels, fine chemistry, cellulosic ethanol and life sciences markets through our SixRing and SciencePak subsidiaries. With its strong reputation as a supplier of premium products and services to the industrial marketplace, its vast geographical presence, and its solid customer relationships, Dorf Ketal is the ideal owner for the continued global development of the business, providing a greatly increased level of service and support infrastructure for our employees, customers, and other stakeholders moving forward.”
The Energy and Power Division of Piper Sandler Limited served as the exclusive corporate finance advisor to the shareholders of Fluid Energy Group for the acquisition. Ernst & Young India advised Dorf Ketal on this transaction. The acquisition was partially funded from internal accruals and long -term loan from Citibank and EXIM Bank of India.