Insituform Technologies Inc. (Nasdaq Global Select Market: INSU) recently announced its acquisition of Insitu Envirotech (S.E. Asia) Pte Ltd., its former licensee in Singapore (“Insitu S.E. Asia”), for US $1.3 million.
Daniel E. Cowan, vice president – Asia Pacific for Insituform, said, “This acquisition further expands Insituform’s trenchless rehabilitation business in Southeast Asia, providing meaningful access to the Singapore and Malaysian rehabilitation markets and bolstering our operations in India, Hong Kong and Australia. The trenchless rehabilitation market in Singapore is experiencing significant growth as a result of a recently-initiated, four-year US $295 million rehabilitation program announced by the Public Utility Board (PUB), Singapore’s national water agency. Insituform’s proprietary trenchless products, including iPlus Infusion® for sewer pipelines and InsituMain for water pipelines, are well suited for this market and should allow Insituform to significantly expand Insitu S.E. Asia’s operations.”
Cowan further commented, “This acquisition also allows Insituform to expand its third-party CIPP tube sales into the Singapore market, which previously had been prohibited by the terms of the exclusive license agreement held by Insitu S.E. Asia. Insituform already has received orders for approximately 80 miles (approximately US $1.7 million) of CIPP tube in Singapore. We believe that third-party tube sales will provide a meaningful contribution to this business in 2010 and beyond.”
Insitu S.E. Asia, an ISO 9001:2008 and OSHA 18001:2007 certified company, has provided trenchless rehabilitation services in Singapore for more than 15 years, most recently as a subsidiary of IJM Corp. Berhad, one of the largest contracting companies in Asia.