Hera Group finalises the acquisition of the Sostelia Group and becomes Italy’s leading player in water treatment

Today the Hera Group has finalised the acquisition of 100% of STA Società Trattamento Acque S.p.A., based in Mantua, together with its subsidiaries: NTW (Cornuda – Treviso), CID (Colloredo di Monte Albano – Udine), NPC (Marene – Cuneo), Trentino Acque (Lavis – Trento), COMS (Talmassons – Udine) and Acque della Concordia (Mantua). 

Taken together, these companies form the Sostelia Group, which, thanks to the distinctive expertise of its entities, ranks among Italy’s leading private players in the water treatment sector, offering advanced technologies, research and development capabilities, and high-level technical know-how. The sale was carried out for 65% by Xenon Fidec, an impact private equity fund managed by Xenon AIFM, and for the remaining 35% by entrepreneurs, minority shareholders of STA who, starting in August 2023, had transferred the entire share capital of the individual companies to the fund.

The transaction has an enterprise value of €138 million and is expected to generate a contribution of more than €20 million to the growth of the Hera Group’s consolidated EBITDA, in addition to the value of the expected integration synergies. 

Signing completed following the successful verification of the conditions precedent
Today’s closing follows the successful verification of all conditions precedent set out in the binding agreement signed on 19 January and announced on the same date. These included, among other things, the prior divestment of 100% of Smart SEA, a company excluded from the scope of the transaction.

The Sostelia Group manages more than 1,200 treatment plants, serves over 1,200 active clients, employs around 350 people and has a turnover of approximately €100 million. Its financial and economic profile confirms the industrial strength of the transaction. Around 70% of its activities are focused on industrial clients.

A leading player in water treatment is born
Through this acquisition, the Hera Group further strengthens its positioning both the Water and Waste sectors, in the treatment of municipal and industrial water – an area that is highly synergistic with its activities. 

As outlined in greater detail in the press release issued when the binding agreement was signed, with this acquisition the Hera Group becomes  the reference player in Italy in water treatment, with an integrated offer across the entire supply chain: from design and construction to operation and maintenance, through to the treatment and disposal of liquid waste and sludge associated with purification processes.