Norma's Billion-Dollar Water Business Sale: A Strategic Shift

Norma Group is selling its lucrative water management business to Advanced Drainage Systems for $1 billion, a move that sent stock prices tumbling. The deal, expected to close in early 2026, will give Norma up to $755 million in net cash. Norma plans to use the funds to pay down debt, make industrial-focused acquisitions, and initiate a share buyback program. The sale, however, prompted Norma to significantly revise its financial outlook for the year, with sales and profit margins now expected to be much lower. This marks a major strategic shift for the company. Hosted on Acast. See acast.com/privacy for more information.