Taronis Technologies, Inc., a clean technology company, has acquired an industrial gas services business based in East Texas.
The acquired company is one of the largest industrial gas infrastructure services businesses in the area. The assets acquired through the purchase significantly increase Taronis’ core asset base and infrastructure.
“This acquisition represents continued forward progress in our growth plans,” said Scott Mahoney, CEO of Taronis.
“Over the past 14 months, we have made seven acquisitions that grew our revenues approximately six-fold and dramatically increased our asset profile. But we also understand that with growth comes added expenses.”
“Consequently, the strategic acquisition of this industrial gas services business will not only ensure our growing asset base is in good repair and available to support our growing customer base, but also has potential to eliminate approximately $50,000 in recurring monthly operating expenses.”
“This latest acquisition has the potential to have a significant impact on our profitability going forward for several reasons.”
“Firstly, this business provides a very high-margin service to a wide range of industrial gas distributors in East Texas and Louisiana that we will now benefit from. Secondly, we can immediately begin eliminating recurring and redundant expenses within our existing East Texas and Louisiana operations. Lastly, we intend to leverage the acquired employee’s skills and expertise to replicate this service model within our Florida and California operations in the coming quarters, which will enhance our business operations.” Mahoney concluded.
The purchase price for the business was $1.5m, paid in cash at closing.