Ecolab has entered into a definitive agreement to acquire the electronics division of Ovivo, a global provider of ultra-pure water technologies for semiconductor manufacturing. The deal aims to strengthen Ecolab’s presence in the high-tech sector by combining Ovivo’s technologies with its own water solutions, digital capabilities and service network.
The acquisition will enable Ecolab to offer advanced circular water management solutions tailored to microelectronics manufacturing. These solutions are designed to significantly reduce the use of fresh water while optimising chip production and quality.
Ovivo Electronics is projected to generate sales of US$500 million in 2025 and employs more than 900 staff globally. Ecolab will pay approximately US$1.8 billion in cash upon closing, subject to customary adjustments.
“Ovivo Electronics’ unique technologies deliver the world’s purest water, which is essential for manufacturing today’s most advanced microchips,” said Christophe Beck, chairman and chief executive of Ecolab. “A single microelectronics fab can consume the drinking water needs of 17 million people per year. By integrating Ovivo’s ultra-pure water technologies with Ecolab’s global water, digital and service capabilities, we’re deepening our support for the fast-growing microelectronics and AI sectors.”
Beck added: “The combination will enhance our connection to high-tech customers and deliver a compelling circular water platform to maximise chip quality, performance and sustainability. This acquisition will more than double the size of our global high-tech water business. Combined, we expect our US$800 million high-tech portfolio to grow at strong double-digit rates with attractive operating margins. We look forward to welcoming Ovivo Electronics’ global team to Ecolab.”
The transaction is expected to close in the first quarter of 2026, pending regulatory clearance and other customary conditions. It is expected to deliver double-digit returns and be immediately accretive to Ecolab’s sales growth. In the first year, the acquisition is projected to be neutral to adjusted earnings per share, excluding approximately US$45 million in non-cash amortisation. Positive earnings contribution is expected from 2027 onwards. After the acquisition, Ecolab’s net debt to adjusted EBITDA is anticipated to be approximately 2x, in line with its long-term financial targets.
