Ecolab Inc. (ECL) developer and marketer of products and services for the hospitality, foodservice, healthcare, and light industrial markets announced plans of expanding presence in China.
The company intends to make incremental investments of $30 million in China which will include additional manufacturing, research & development projects and technology platform upgrade.
This investment is expected to increase Ecolab’s superior product and service offering to better serve the Chinese market, by enhancing the living quality, and deliver more sustainable solutions. It will also enable the company to help its customers’ meet world-class cleaning, sanitization, food safety and infection prevention needs.
Ecolab has served the Chinese market since 1987 and management believes that this expansion will be a significant milestone with respect to its operations in China.
The company has also signed a Memorandum of Understanding with the Chinese government regarding its expansion by establishing a Holding Company in China headquartered in Shanghai.
During fiscal 2008, the company reported strong results in the Asia-Pacific segment with 8% revenue growth primarily driven by China and followed by Hong Kong. Revenues benefited from new corporate accounts and strong results in the beverage and brewery market.
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