Global water technology company, Xylem has signed a definitive agreement to acquire smart meter specialist Sensus for approximately $1.7bn in cash.
Sensus, owned by investment funds affiliated with The Jordan Company and GS Capital Partners 2000, is a leading provider of smart meters, network technologies, and advanced data analytics services for the water, electric and gas industries.
It has more than 80 million metering devices installed globally, and its distinctive FlexNet® communications network technology uses licensed spectrum in the U.S. and other geographies and provides secure connectivity solutions that support multiple applications.
With Sensus, we will acquire a strategically valuable asset that will accelerate our ability to bring systems intelligence solutions to customers across the water and energy industries, establish a foundation for future growth and create significant shareholder value, said Patrick Decker, Xylem President and Chief Executive Officer.
Sensus has a very broad product portfolio in metering and is well positioned in the advanced metering infrastructure (AMI) segment, continued Mr. Decker. The AMI segment is growing at nearly twice the rate of the total metering space, driven in part by regulations and customers growing need for real-time data and reduced operational costs.