SEBERANG PERAI, July 1 — Global water technology company Xylem Inc plans to increase its annual business growth by between US$30 million (RM94 million) and US$40 million (RM126 million) within the next five years in the Southeast Asian region.

The company, which opened its first branch office in Perai here today, currently sees an annual growth of US$12 million (RM38 million) in Southeast Asia and hopes to expand its business further in the region through acquisitions.

Xylem greater Asia regional director, Allan William Hendry, said the company is actively looking at viable companies in the same industry to acquire as part of its expansion plans in Asia.

The company is looking at emerging markets in the region, not only in Malaysia, for its expansion plans, he said.

“We are also looking at a five to 10 per cent growth in Malaysia for the next five years,” he added.

Xylem has a plant in Shah Alam, which was established in 1999, and has a growing list of customer base that includes municipal and industrial customers in many states such as Kelantan, Kedah, Terengganu, Perlis, Kedah and Penang.

Amongst its customer base are Indah Water Konsortium (IWK), the Drainage and Irrigation Department (DID) and in Penang, the Penang Water Supply Corporation (PBAPP).

Penang Chief Minister Lim Guan Eng officiates the opening of the Xylem northern branch in Penang.

The company provides technological solutions such as pumps and water treatment systems for clean water transportation or waste water treatment and transportation.

“We provide the pumps that transport water to paddy fields in rural areas and we are also supplying pumps for shopping malls and to keep the SMART tunnel in Kuala Lumpur from being flooded,” he said.

He said the company’s first sales and service office in Penang will offer prompt service response to its customers located in the northern region of Malaysia.

Xylem has been doing business in more than 150 countries and in recent years, it has also increased its presence and business focus in the emerging markets of Brazil, India, Panama and now, the Southeast Asia region.

The company was launched in 2011 from the spinoff of the water-related businesses of ITT Corporation and in that year, it recorded revenues of US$3.8 billion with 22,500 employees worldwide.

In launching the opening of the US$1 million (RM3 million) branch office in Penang, Penang chief minister Lim Guan Eng was impressed with Xylem’s capabilities in water technology.

“Due to its capabilities, I hope Xylem could do a complete study on PBAPP’s water management on how it could save energy and improve water quality so allow us to finally produce potable water from the taps,” he said.

He added that the state government spends more than RM40 million in flood mitigation each year and hopes to ask Xylem to look at ways to help the state to maximise and improve irrigation so as to reduce costs.