Based in Bodenheim, Germany, Hilge serves the beverage, food and pharmaceutical industries. The company had revenues of more than €35 million in fiscal 2014 and about 150 employees.
The sale includes the existing Hilge production unit, research & development, product management, along with sales support and distribution rights.
All Hilge-related employees have been offered new positions by GEA.
GEA says that Hilge’s product range is complementary to its flow components portfolio. The transaction remains subject to approval by the anti-trust authorities.
“With the acquisition of Hilge, we continue implementing our M&A strategy to fill technological gaps by acquiring accretive specialist companies which complement our product portfolio,” said Juerg Oleas, CEO of GEA. “Hilge strengthens our position as a leading supplier of equipment and provider of solutions in hygienic and aseptic process environments.”
The sale of Hilge is aligned with Grundfos’s new 2020 strategy.
“Hilge has been a part of the Grundfos Group since 2004. Nevertheless, the increased focus for Grundfos on core business has led to the conclusion that the sanitary business is not a strategic focus area. GEA is a strong strategic fit for Hilge with strong synergies expected given GEA’s focus on the processing industry, including food and beverage. Everyone wins! GEA expands in its focus area, Grundfos concentrates on its core business, and Hilge joins an organization where it will play a strong strategic role,” said Lars Aagaard, executive vice president and head of business development at Grundfos.
While exiting the sanitary pump business, Grundfos will continue to focus on non-sanitary products and solutions within the food, beverage and pharmaceutical industries, as this is part of the company’s general offering to the industrial market.
Grundfos acquired Hilge from Berdelle Hilge in 2004. The Berdelle-Hilge Foundation will continue as minority owners.