Thursday, July 10, 2008

Gaon Agro buys Aqua Control Systems

Gaon Agro Industries Ltd. has acquired half of Aqua Control Systems for NIS 26 million from its chairman David Shani, according to a report in "Globes". The payment could increase by up to an additional NIS 10 million depending on Aqua's financial results in 2009-10.

As part of the deal, Motech Water Management Ltd., also owned by Shani, will be merged into Aqua Control Systems as a wholly-owned subsidiary.

Aqua Control Systems specializes in high performance irrigation control and communication systems, supplying computerized irrigation control systems for water supply projects in rural areas. The company has been a strategic partner of Motorola Inc. for 18 years, selling its IRRInet irrigation control and communication system under a non-exclusive license.

Gaon Agro states that Aqua Control Systems posted a net profit of NIS 1.5 million on NIS 42.9 million revenue in 2007, compared with a net profit of NIS 1.4 million on NIS 40.6 million revenue in 2006.

Motech Water Management was founded in 2006. It represents Motorola in 14 countries, including Australia, France, Italy, and Spain. Gaon Agro disclosed no financial details about this company.

Gaon Agro also manages the AquAgro Fund, a venture capital fund focused on Israeli water, agriculture and clean technologies. AquAgro has already invested in three companies: Evogene, Desalitech (formerly Advanced Desalination Technologies), and Computerized Electricity Systems.

Related posts:

Computerized Electricity Systems raises $3.75m from AquAgro Fund

AquAgro Fund announces launch of Aqua Lab for early stage investments

Advanced Desalination Technologies raises $4m from AquAgro Fund