LONDON, UK: MYCELX Technologies Corporation, a company that provides clean water and clean air solutions for various industries, has announced the sale of its Saudi Arabia business operations to Twarid Water Treatment LLC, a company owned by a Saudi Arabian consortium of investors.
The deal, which is worth up to $7.125 million, includes the transfer of equipment, inventory and contracts from MYCELX to Twarid. The payment is split into $3.125 million at closing and up to $4 million in deferred earn-out payments, based on Twarid’s revenue performance over the next 24 months.
The sale will allow MYCELX to focus on its core markets of PFAS remediation and EOR, where it offers unique and effective technologies that can reduce the environmental impact of industry. The company will also continue to sell its proprietary media and products in Saudi Arabia, through an exclusive distribution agreement with Twarid.
MYCELX expects its Saudi Arabian business to grow under the leadership of Twarid, which will retain the current employees and serve the oil and gas, waste management, air, marine and PFAS remediation markets in the country. The company says that its business aligns with Saudi Arabia’s Vision 2030 sustainability goals.
The closing of the deal is subject to certain customary conditions, and is expected to take place by 31 March 2024.
Connie Mixon, CEO, commented: “We are delighted to announce the sale of our Saudi Arabia business operations to Twarid. We have operated in Saudi Arabia for many years now and it has been an important part of our growth. This agreement enables MYCELX to continue to grow its proprietary media and products in an important market while relinquishing sales and operations associated with its current Saudi Arabian business.
This is a key step in the Company’s efforts to place greater marketing and sales resources on its exciting growth markets, PFAS and EOR, while still being able to capitalize on strong demand for its offering in Saudi Arabia. We look forward to working with Twarid as the Saudi business potentially gains even greater market presence and as we focus resources on driving success in PFAS and EOR. These markets are large, global opportunities that will bring long-term value to the Company and where we can deliver innovative solutions with a positive impact on the environment.”
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