NORMA Group to Divest Water Management Unit, Updates 2025 Forecast

NORMA Group SE has signed an agreement with Advanced Drainage Systems, Inc. to sell its Water Management strategic business unit. The transaction will impact subsidiaries across the Americas, Asia-Pacific, and Europe. In 2024, this business generated net sales of approximately USD 320 million and an adjusted EBITDA of around USD 78 million. The enterprise value is set at USD 1 billion, and the net cash inflow expected ranges from EUR 620 million to EUR 640 million post-deductions.

The Management Board intends to allocate EUR 300 million for debt repayment and up to EUR 70 million for potential acquisitions. Remaining funds may be returned to shareholders following discussions. The transaction, pending regulatory approvals, is anticipated to close in Q1 2026.

The 2025 financial forecast now projects Group sales from continuing operations between EUR 810 million and EUR 830 million, with an adjusted EBIT margin of approximately 0% to 1%.