Insights

Wastewater Treatment Industry Report

June 1, 2019

The global water & wastewater treatment market is a multi-hundred-billion dollar industry that continues to see a strong compound annual growth rate year after year.

By the year 2050, nearly 70% of the world's population is projected to live in cities. While rapid urbanization leads to economic growth, it also increases the need for freshwater resources. With more urban garbage creation, more polluted water from plastics, chemicals, and pathogens from human excrement is likely. Therefore, the need for more advanced wastewater technologies is likely to increase as a result.

KEY FACTORS

Water infrastructure has experienced several ups and downs. While most market stakeholders were interested in business collaborations, natural disasters have created a range of problems for water treatment manufacturers. Most of the top players have become focused on the integrating advanced technologies to develop smarter and more effective water treatment and management solutions.

The industry is propelled by factors such as diminishing freshwater resources and stringent regulations related to emissions and treatment of industrial waste. Industries such as food, petroleum refining, textile dying, and power plants are some of the main contributors to industrial wastewater. 

Over recent years, new water recycling and process technologies have emerged, such as membrane bioreactors, wastewater monitoring and control systems, and granular sludge treatment processes using engineered microbial structures.

The value chain for the water and wastewater treatment equipment market is expected to witness changes in terms of investments, innovations, advancements, and business opportunities. New technologies, business models, and technologies are expected to be introduced, especially to support the changing requirements for water treatment. 

Your Perfect Buyer is Out There – Let Us Help You Find Them.

The pulp and paper industry is using water and wastewater treatment technologies to remove particulate matter and reduce toxicity. These technologies include reverse osmosis, ion exchange, membrane filtering, UV disinfection, and biological treatment.

The Asia-Pacific region dominates the wastewater market due to concerns over water scarcity, environmental pollution, growing urbanization, insufficient infrastructure, and rising health risks. Several large countries are adopting advanced wastewater treatment technologies, and growing industrial segments in the Asian region are creating more market growth potential.

M&A

Water and wastewater treatment suppliers have considerable growth opportunities due to the increasing global demand for more innovative and energy-efficient water treatment systems. The sector offers attractive circumstances for strategic investment, portfolio expansion, and diversification. There are several niche markets within the industry that go beyond the broader trends, offering more openings for strategic M&A moves and transformative growth.

Certain trends are driving investor interest in critical services, products, and technology across the wastewater space. These trends include previous levels of underinvestment in infrastructure, stricter regulatory and compliance standards, and the outsourcing of non-core services by utilities and municipalities. Investors are keeping an eye on businesses that facilitate wastewater maintenance and infrastructure upgrades, as well as the companies offering water and wastewater treatment services.

Our Recent Success Stories in the Sector

Some of Benchmark International’s more recent successful deals in the water and wastewater space include:

  • The transaction between Biomatrix Water Solutions and Ross-Shire Engineering (RSE)
  • The deal between Trident Water Solutions Limited and Phenna Group
  • The sale of PDS Drainage Solutions to Thermatic Technical FM
  • The acquisition of Andidrain Limited by Denholm Energy Services Limited

Schedule a Call

Share This Post
Ready to dive into our featured M&A content and gain valuable insights for your business?