Arcadis acquires leading water company in Brazil
ARCADIS, a leading international consultancy, design, engineering and management services company, today announced that it has acquired ETEP Consultoria, Gerenciamento e Serviços Ltda. (ETEP), the largest water engineering and consultancy company in Brazil. ETEP has 300 employees and annual gross revenues of approximately R$ 50 million (€ 20 million) and net revenues of R$40 million (€16 million). ARCADIS has acquired the shares from management who will all stay with the business. ETEP has a track record of strong growth in the attractive Brazilian water market and produces margins above 10%. Further financial details were not disclosed.
ETEP, headquartered in Sao Paulo was established in 1966 as an infrastructure company (still 17% of revenues), but has since developed into a highly specialized company in water supply, water treatment and wastewater (83% of revenues). The company provides program and project management as well as engineering, consultancy and related services. ETEP works for public clients including water companies and municipalities, but also works with private sector clients such as contractors and industrial firms. ARCADIS has successfully worked together with ETEP on projects in the past. Combined with ARCADIS Logos, we will be the undisputed leader in the fast developing Brazilian water market.
ARCADIS Executive Board member Friedrich Schneider said: “This is an excellent addition to our Brazilian activities. ETEP is a top notch company with a strong reputation and high quality people. This step will allow us to more quickly expand our position in the Brazilian water market. The addition of ETEP will significantly strengthen ARCADIS Logos water capabilities and position us for future growth. Also, with two additional regional offices, our geographical spread within Brazil is further enhanced.”
Lineu Alonso CEO of ETEP said: “We have worked with ARCADIS Logos in prior projects and have met with their water experts, who can bring a whole array of new solutions into the Brazilian market. With large Brazilian cities needing to further invest in water treatment networks and facilities, while also facing investments in water supply, we believe the Brazilian market is a place where our combined technologies can strongly support our clients and help us win new ones.”
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