CHESTERFIELD, MO. — Insituform Technologies Inc. acquired Kinsel Industries Inc. in an $80 million deal effective March 1.
Chesterfield-based Insituform will capitalize on the pipeline-rehabilitation sector of Houston-based Kinsel, said Joseph White, Insituform vice president and chief financial officer. That segment includes pipe-bursting and PVC lining systems.
New construction, which represents half of Kinsel's $100 million business, will be divested in the future, White said.
Kinsel and a joint venture partner recently won a five-year, $380 million rehabilitation contract, White said. That contract made Kinsel even more attractive.
White said he anticipates a minimum of 15 percent growth per year.
Kinsel has two locations — in Jacksonville, Fla., and Houston.
In a revision of its first-quarter earnings March 15, Insituform said it anticipates 2001 sales of about $550 million.