XPV Water Partners Supports Portfolio Company Growth Through Proven M&A Platform
A smart and calculated approach to growth is helping Newterra expand its offerings and accelerate business in new markets.
A merger or acquisition (M&A) can decisively boost the business trajectory of a company — if it is properly planned and executed. From multi-billion-dollar deals to smaller partnerships, M&As can enable new product offerings, access to new customers, greater market share potential, and international and global reach. But how do companies that offer innovative water technologies make smart decisions about how and when to buy or build?
Named one of Canada’s Best Managed Companies for nine consecutive years, Newterra Group Ltd. offers innovative water technologies that are opening up new possibilities for decentralized water treatment with redeployable systems. Newterra’s modular “plug-and-play” solutions can be located virtually anywhere and be scaled in parallel with capacity requirements.
As one of XPV Water Partners’ portfolio companies, Newterra has worked closely with the water investment fund’s experienced team to identify, validate, and pursue M&A opportunities to grow and differentiate the business.
“XPV Water Partners is an extended part of our team,” says Tom Vossman, Newterra’s CEO. “With their help, we continue to add great products and services to our company, expanding our ability to address global water challenges with greater reach than ever before.”
Making “buy or build” decisions
When done right, M&As can generate transformational value for a company, says Sam Saintonge, Principal, XPV Water Partners, and a member of the Newterra Board of Directors. “The key is to find and act on the right opportunity at the right time, ensuring that all parties have a shared vision, a clear long-term strategy, and similar set of core values.”
As part of its proven approach to M&As, XPV Water Partners leverages its experience, tools, and deep connections in the water industry. The water investment fund helps its portfolio companies fuel their expansions, exploring all options to find the right fit. The firm can identify, analyze, and approach suitable targets to maximize growth potential and minimize business risk. XPV Water Partners can also support or share best practices for the most critical part of the process – successfully integrating the new companies, products, technologies, and people after the merger or acquisition is complete.
“We’ve refined our process over time,” says Saintonge. “We’re proud to say it has resulted in many successful M&As for our companies.”
Calculated growth and expansion
As part of working together with Newterra on its growth plan, XPV Water Partners uses its vast databases, industry connections, and sector expertise to identify ideal M&A candidates and close deals. The process has proven successful. In under two years, Newterra has successfully acquired and integrated three companies:
- A leading manufacturer of high-quality carbon and media adsorption equipment and solutions, TIGG® expands Newterra’s reach into the remediation, municipal and industrial sectors while providing a strong manufacturing base for vessel production.
- StormwateRx designs, manufactures, installs, and maintains stormwater treatment systems to help customers comply with strict discharge requirements. The company offers innovative, passive, modular solutions to keep site water discharge quality within prescribed limits.
- An internationally recognized leader in wastewater aeration and mixing solutions, Aeration Industries International, LLC serves the industrial, municipal, and aquaculture markets.
Tom Vossman says these pairings are perfect matches for Newterra. “By combining these companies with our modular system approach, Newterra can solve some of the world’s most pressing water challenges, leveraging shared resources to handle larger, more challenging projects, enter new vertical industry sectors, and expand our geographical reach.”
Fast track to success
By working with XPV Water Partners to thoughtfully expand its offering of innovative water technologies and solutions, Newterra is fast-tracking its path to growth and making a more impactful mark in the water industry.
“Leveraging the resources that XPV Water Partners offers in addition to our strong team and solutions offering has positioned Newterra as a global market leader,” says Vossman. “Working with the experienced XPV team has given us a strategic advantage and we have seen many positive results.”