Valmet entered into an agreement to acquire US-based NovaTech Automation’s Process Solutions business. The value of the acquisition will not be disclosed. The acquisition is estimated to be completed on January 1st, 2023, at the earliest.
NovaTech Automation’s Process Solutions business specializes in process control and optimization solutions for batch, continuous and hybrid processes. The Process Solutions business has a turnover of approximately USD 18 million and employs more than 90 people in the United States and the Benelux countries.
The acquisition is in line with Valmet’s strategy and will further strengthen Valmet’s automation business with a reliable batch distributed control system (DCS). It also expands Valmet’s automation systems business footprint in the US, particularly in food and beverage, pharmaceuticals, and chemical products.
The NovaTech Automation Process Solutions business will transition to Valmet, including employees, technologies, and customer agreements. The two organizations will work together over the coming months to ensure a smooth transition. The acquired business will be integrated to Valmet’s Automation Systems business line.
Harry Forbes, ARC Advisory Group, commented, “The supplier landscape in Distributed Control Systems (DCS) continues to consolidate, however new cloud software technologies and industry standardization initiatives by NAMUR, the Open Group, and the OPC Foundation will move DCS technology more toward IT. Today’s cutting-edge IT is aimed at delivering distributed, containerized, and orchestrated applications running with very high availability. DCS suppliers are moving to this same model, albeit slowly and cautiously.”