Ember Completes Acquisition of H2O Innovation

Water solutions company H2O Innovation has announced the completion of its acquisition by Ember SPV I Purchaser Inc., an entity controlled by New York-based private equity firm Ember Infrastructure Management. The acquisition, valued at C$4.25 per share, will provide H2O Innovation with the resources and expertise to accelerate its organic growth and expand its customer offering.

H2O Innovation is a leading integrated water solutions company that focuses on providing best-in-class technologies and services to its customers. The company's activities are divided into three pillars: Water Technologies & Services, Specialty Products, and Operation & Maintenance. With this acquisition, H2O Innovation is well-positioned to meet the growing demand for innovative water solutions in the face of climate change, increased regulation, and stakeholder demand for improved resource stewardship.

The completion of the acquisition marks an exciting chapter for H2O Innovation and its nearly 1,100 employees. The company's President, CEO, and co-Founder, Frédéric Dugré, expressed enthusiasm for the opportunities ahead and the ability to further enhance their customer offering. Dugré believes that with the support of Ember, H2O Innovation can accelerate its organic growth and make strategic acquisitions that will enable customers to more efficiently use and protect water resources.

Elena Savostianova, Founder and Managing Partner of Ember, also expressed the belief that H2O Innovation is well-positioned to meet the needs of communities and businesses facing strained water resources. Ember sees an attractive opportunity to support H2O Innovation's management in building a leading integrated water solutions company that provides best-in-class technologies and services to its customers.

The consideration for the purchased shares has been remitted to TSX Trust Company and will be paid to former shareholders of H2O Innovation as soon as reasonably practicable. Following the completion of the arrangement, the shares will be delisted from the Toronto Stock Exchange and Euronext Growth, and withdrawn from OTCQX. H2O Innovation will also apply to cease to be a reporting issuer in all provinces of Canada.

H2O Innovation's annual meeting of shareholders, previously scheduled for December 22, 2023, has been cancelled in light of the completion of the arrangement. The company is committed to providing updates and ensuring transparency, as required by applicable securities legislation.

H2O Innovation's forward-looking statements emphasize the uncertainties and risks associated with the completion of the arrangement. While the company has made material assumptions in its outlook, it acknowledges that unforeseen events or circumstances beyond its control could impact actual results. H2O Innovation cautions investors and stakeholders to consider such risks and uncertainties when making investment decisions.

In conclusion, H2O Innovation's acquisition by Ember marks a significant milestone in the company's growth journey. With the support of Ember, H2O Innovation is poised to expand its footprint and provide innovative water solutions to address the increasing demand for sustainable water management. The acquisition will enable H2O Innovation to deliver best-in-class technologies and services to its customers and contribute to the efficient use and protection of water resources.