CECO Environmental Corp.
) recently announced the acquisition of HEE Environmental
Engineering, a California-based, designing and manufacturing
company. The acquisition is expected to significantly augment the
company's offerings in the air pollution control market. The
announcement that came on Aug 14, has led to a share gain of about
1.8% so far.
HEE Environmental Engineering is a leading supplier in the air
pollution control end-market, offering a diverse range of
scrubbers, fans and other equipments for minimizing the toxic
effects of hazardous chemical gases. The company, with an annual
revenue generation capacity of $10 million, has an industry
experience spanning over four decades. Its offerings include air
pollution control scrubbers, biological scrubbers, FRP tanks,
carbon scrubbers as well as fans certified by the Air Movement and
Control Association (AMCA) International, Inc.
HEE Environmental Engineering will perfectly complement CECO's
business, adding to its Duall Thermal Plastic scrubber unit. CECO,
integrating the formers technology portfolio into its own, will be
able to provide efficient yet comprehensive offerings to meet the
rising need for the solutions to tackle the problem of air
pollution across the globe. On the other hand, HEE Environmental
Engineering is expected to benefit from CECO's strong global
presence in the domain.
The acquisition, which favorably places the combined entity to gain
from the rising demand for fiberglass scrubbers, comes at an
opportune moment. Moreover, stringent environmental regulations
across the globe are compelling an increasing number of businesses
to invest in the air pollution control products. This is definitely
a positive for the company.
Prior to this, in 2013, the company had acquired Met-Pro
Corporation for approximately $210 million, through which it
attained a leading position in the air pollution control, product
recovery and fluid handling technology markets across the globe.
CECO Environmental currently carries a Zacks Rank #3 (Hold). Some
better-ranked stocks in the same sector are Metalico Inc. (
), Blount International Inc. (
) and Sharps Compliance Corp. (
). While Metalico and Blount International sport a Zacks Rank #1
(Strong Buy), Sharps Compliance has a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
CECO ENVIRNMNTL (CECE): Free Stock Analysis
SHARPS COMPLIAN (SMED): Free Stock Analysis
BLOUNT INTL (BLT): Free Stock Analysis Report
METALICO INC (MEA): Free Stock Analysis Report
To read this article on Zacks.com click here.