Acquisitions and Divestitures

6 Months Ended

Mar. 31, 2018

Acquisitions support the Company's strategy of delivering a broad solutions portfolio with robust technology across multiple geographies and end markets. The following acquisitions were made during the three months ended March 31, 2018.

The Company acquired Pure Water Solutions on January 31, 2018, a provider of high-purity water equipment and systems, service deionization and resin regeneration, with service operations in suburban Denver, CO and Santa Fe, NM for $4,699; $3,706 cash at closing with a maximum earn out payment of $993 to be paid out twelve months after the closing. The fair value of earn out payments at the date of acquisition was $461. Pure Water Solutions is part of a part of the Industrial Segment, and will extend the Company’s service network.

On March 9, 2018, the Company acquired Pacific Ozone Technology, Inc, a provider of advanced ozone disinfection systems, testing products and support services $8,557; $6,557 cash at closing; with up to another $2,000 of earn out payments to be paid out over three years after the closing. Pacific Ozone, based in Benecia, CA, is part of the Products Segment and adds a new technology, ozone disinfection, to the portfolio and further enhances the Company's ability in the industrial water treatment and aquatics market.

Pro forma results for acquisitions completed during the three months ended March 31, 2018 were determined to not be material.

The preliminary opening balance sheet for the acquisitions is summarized as follows.



	Pure Water			Pacific Ozone			Total
Current assets	$	277		$	1,418		$	1,695
Property, plant and equipment	175			192			367
Goodwill	2,369			5,863			8,232
Intangible assets	1,488			—			1,488
Total assets acquired	4,309			7,473			11,782
Total liabilities assumed	(154		)	(916		)	(1,070		)
Net assets acquired	$	4,155		$	6,557		$	10,712