Unilever has sold its well-known water purifier brand, Pureit, to the global water technology company A. O. Smith Corporation for $120 million. This strategic acquisition strengthens A. O. Smith’s position in the rapidly growing water purification market and signals a new direction for both companies.
Pureit was launched in Bangladesh in 2010 as part of Unilever’s effort to provide affordable and reliable water purification solutions. A. O. Smith, known for its expertise in water treatment technology, sees Pureit as a complementary addition to its existing premium water brands. Kevin J. Wheeler, Chairman and CEO of A. O. Smith, commented, “Pureit complements our premium brands and will help us expand our presence in South Asia.”
Originally introduced in India in 2004, Pureit was created with the goal of addressing the challenge of providing safe and accessible drinking water to the growing populations of South Asia. Over the years, the brand has expanded beyond India and Bangladesh into Sri Lanka, Vietnam, and Mexico, generating an estimated $60 million annually from South Asia alone.
The deal, which was announced earlier this year, aligns with A. O. Smith’s focus on water purification. Founded in 1874, A. O. Smith initially operated in the automobile industry but shifted its focus to water purification technologies in 2011. This shift has allowed the company to meet the increasing demand for clean water solutions worldwide.
For both companies, this acquisition presents new growth opportunities. A. O. Smith will benefit from Pureit’s established market presence and trusted brand, while Unilever will be able to concentrate on other core business areas. As the demand for clean water continues to rise, this strategic move positions A. O. Smith to play a larger role in improving public health and access to safe drinking water in South Asia and beyond.
Source: The Business Standard
