Veolia has moved to acquire the remaining 30 per cent stake in its Water Technologies and Solutions subsidiary from CDPQ, in a deal valued at around US$1.75 billion, positioning the company for greater strategic agility and cost-efficiency. The transaction is expected to bring about €90 million in run‑rate cost synergies by 2027, simplification of the group’s structure, and added value through streamlined decision‑making and integration.
The move forms part of Veolia’s “GreenUp” strategic roadmap, which prioritises capital allocation in water technologies and increased anchoring in the United States—both identified as key growth catalysts. The acquisition is anticipated to enhance Veolia’s leadership in water treatment innovations, and is expected to be accretive from 2026 onwards.
Full ownership will grant Veolia unbridled operational control over WTS, enabling deeper integration, improved performance, and accelerated innovation. The synergies, estimated at €90 million by 2027, are regarded as low-risk, owing to Veolia’s intimate knowledge of the subsidiary and proven track record in synergy realisation.
The purchase price corresponds to about 11 times the estimated 2025 EBITDA post-synergies. Veolia expects the closing of the transaction by the end of June 2025, while remaining comfortably within its net debt to EBITDA target of 3x, thus preserving strategic financial flexibility for continued pursuit of its GreenUp agenda.
More than half of WTS’s business currently occurs in North America, reflecting the region’s importance under Veolia’s growth strategy. In the first quarter of 2025, Veolia reported an EBITDA of €1.7 billion—up from €1.62 billion year-on-year—and reaffirmed its full-year guidance, underscoring confidence in its trajectory.
Simultaneously, Veolia has secured US$750 million worth of new contracts in energy and semiconductor sectors, including a US$550 million agreement in the American Midwest for a microelectronics plant, along with projects in San Francisco, Brazil, and the UAE. These wins reinforce the strategic alignment between full ownership of WTS and Veolia’s global growth imperatives.
Veolia’s CEO, Estelle Brachlianoff, described the acquisition as a pivotal step in unlocking the full potential of water technologies—a core growth driver under its GreenUp strategy. She highlighted that full ownership enables the company to respond more swiftly and effectively to emerging market needs, and allows for accelerated growth, operational efficiency, and synergies.
Albrecht von Alvensleben, Managing Director and Head of Private Equity Europe at CDPQ, reflected on the joint venture’s progress since 2017, stating that WTS has emerged as a global market leader in water technologies. He expressed satisfaction at having supported that growth and conveyed confidence in the subsidiary’s future under Veolia’s sole leadership.
The water technologies segment is central to Veolia’s global operations. In 2024, the broader Water Technologies division posted revenues of €4.97 billion and EBITDA of €612 million, serving more than 8,000 clients across 44 countries, backed by 38 technological sites and 11 dedicated R&I laboratories. Within that, WTS generated revenues of €3.3 billion and EBITDA of €472 million.
By gaining full control of WTS, Veolia consolidates its capacity to deliver integrated water treatment solutions across sectors including semiconductors, pharmaceuticals, and data centres, all of which are facing intensifying demand amid water scarcity, climate adaptation pressures, and heightened health concerns.
Veolia has reaffirmed its commitment to achieving an EBITDA compound annual growth rate of at least 10 per cent in its Water Technologies division from 2023 through 2027, a target it will pursue with greater coherence and operational unity under full ownership of WTS.