Valmet, a global technology leader serving process industries based in Finland, has entered into a deal to acquire Severn Group, a well-established industrial valve company, from Bluewater, a UK-based private equity firm.

The transaction is valued at $480 million on a cash and debt-free basis paid in cash upon completion.

The acquisition covers all three Severn divisions: Severn Glocon, ValvTechnologies, and LB Bentley. Severn serves process industries globally and has over a 60-year track record of delivering specialised flow control solutions across the most demanding applications.

Severn’s strong technologies, installed base and customer relationships with a diverse set of the world’s largest blue-chip industrial companies support Valmet’s growth strategy beyond its traditional core biomaterials business.

The acquisition further strengthens Valmet’s Process Performance Solutions segment and position as a leading provider of mission-critical valve and valve automation solutions and services.

Valmet’s Flow Control business, known for brands such as Neles, Jamesbury, Neles Easyflow, Valvcon, Stonel and Flowrox, delivers process performance across its strategic core industries, including Refining and Chemicals, Renewable Energy and Gases as well as Mining and Metals. In 2024, net sales of Valmet’s Flow Control business were 791 million euros.

“This acquisition marks a significant step in the execution of Valmet’s Lead the Way strategy, strengthening our Process Performance Solutions segment and expanding our Flow Control business,” stated Thomas Hinnerskov, the President and CEO of Valmet.

“Severn’s strong capabilities and proven track record in severe service for demanding applications make it an excellent strategic fit for Valmet. This acquisition strengthens our commitment to deliver lasting customer value over the life cycle. We are proud to welcome Severn’s skilled and dedicated employees to Valmet,” he added.

Simo Sääskilahti, EVP, Flow Control business, said Valmet’s existing valve technologies and the competencies of the Severn businesses complement each other well, creating a stronger foundation for ensuring process reliability throughout the lifecycle to both Valmet and Severn customers.

“This combination unlocks strong synergy potential through complementary offerings, expanded market reach, and increased service penetration within Severn’s installed base by leveraging Valmet’s global network and capabilities,” he added.

Perttu Louhiluoto, CEO of Severn, said: “We are proud to welcome Valmet as our new owner and look forward to building on the strong foundation laid over recent years. Thanks to Bluewater’s visionary leadership, Severn Group has grown from a British manufacturer in the energy space into a global industrial business with a truly international footprint.”

“As we look ahead, the scale and breadth of the global opportunities in front of us are greater than ever and ones we cannot fully unlock alone. Joining Valmet positions us to accelerate our growth, expand into new markets, and deliver even greater value to customers worldwide. We are excited about this next phase of Severn’s journey,” he added.-TradeArabia News Service