Rotoplas: rieggo® Rotoplas Acquires Stake in IrriVan to Enhance Presence and Growth Outlook

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Apr 02, 2024, 16:52 ET

MEXICO CITY, April 2, 2024 /PRNewswire/ -- Grupo Rotoplas S.A.B. de C.V. ("Rotoplas", "the Company" or "the Group") (BMV: AGUA*), a leader in water management solutions in the Americas, announces to the investment community that through its subsidiary rieggo, it has acquired a 51% stake in Irrigación de Vanguardia (IrriVan), a Mexican company specializing in advanced irrigation systems for agriculture.

This acquisition aims to bolster agricultural projects in Mexico, a country facing the critical challenge of water stress across more than 60% of its territory. With agriculture accounting for 70% of water consumption, the urgency to modernize this sector has never been more pressing, particularly given that water usage in agriculture is significantly more efficient in developed countries. Rotoplas thus positions itself not only as a key player in improving water management but also as a crucial driver in the agricultural modernization of critical regions.

On this matter, Jasiel Palomo, CEO and founding partner of IrriVan, highlighted the significance of this partnership: "This alliance with Rotoplas marks a milestone for IrriVan, propelling us to a new level of growth and success. With our team's technical strength and Rotoplas' support, we are ready to expand our market presence and continue to fulfill our commitment to providing cutting-edge solutions and exceptional service to our clients. I will continue leading IrriVan into this exciting chapter, ensuring we achieve our goals together."

Eduardo Carrilo, CEO of rieggo, expressed optimism about their joint future: "With the acquisition of IrriVan, we strengthen our market position and accelerate our growth plan. This collaboration allows us to integrate the best of both companies, combining efforts to enhance water management efficiency and agricultural yield. I am excited to work together and leverage our synergies to offer comprehensive solutions that meet our clients' needs and address the global challenge of sustainable water use."

With the acquisitions of Hi-Tech and IrriVan, Grupo Rotoplas S.A.B. de C.V. increases its stake from 50% to 88% in the joint venture with Renewable Resources Group Solutions Mexico, S.A. de C.V. named RRG Rotoplas Agricultural Solutions, S.A.P.I. de C.V., "(rieggo)".

Through its Programmatic M&A strategy, Rotoplas seeks to strengthen its market penetration and scale, creating a portfolio of services and products complementary to its current offering. We remain committed to efficient water management and supporting environmental sustainability in the countries where we operate.

CONTACT DETAILS | Investor Relations

Mariana Fernández
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María Fernanda Escobar
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About the Company

Grupo Rotoplas S.A.B. de C.V. is America's leading provider of water solutions, including products and services for storing, piping, improving, treating, and recycling water. With 45 years of experience in the industry and 18 plants throughout the Americas, Rotoplas is present in 14 countries and has a portfolio that includes 27 product lines, a services platform, and an e-commerce business. Grupo Rotoplas has been listed on the Mexican Stock Exchange (BMV) under the ticker "AGUA" since December 10th, 2014.

Pedregal 24, 19^th floor, Molino del Rey
Miguel Hidalgo
Zip Code 11040, Mexico City
T. +52 (55) 5201 5000
www.rotoplas.com

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SOURCE Grupo Rotoplas S.A.B. de C.V.