Floods Rising, Georg Fischer Bets on Valves and Vision

The Swiss group buys VAG-Group, aiming to modernize stormwater systems as floods rise and Europe’s pipes grow older

11 May 2025

At a time when Europe’s sewers are struggling to cope with heavier rain, a Swiss industrial group has decided that valves matter. Georg Fischer, an engineering firm best known for pipes and fittings, has agreed to buy Germany’s VAG-Group for about CHF200m. The deal, expected to close by the end of 2025, is less about scale than about control.

VAG makes large valves used in drinking-water and stormwater systems. Such kit is rarely noticed, until it fails. Valves regulate flows, isolate faults and help prevent floods when rain overwhelms old networks. Many European cities rely on systems built decades ago, designed for gentler weather and smaller populations. Climate change has made those assumptions obsolete.

Georg Fischer’s logic is straightforward. By adding VAG’s products to its own piping systems, it hopes to sell utilities a more complete package: pipes, valves and controls designed to work together. The firm wants to move from being a component supplier to a systems provider, reducing installation costs and easing maintenance for cash-strapped municipalities.

The timing is deliberate. Flooding is becoming more frequent, environmental rules are tightening and urban growth continues. Spending on water infrastructure, long deferred, is rising again. Utilities increasingly prefer fewer suppliers who can deliver compatible equipment at scale. That favours firms able to bundle products rather than sell them piecemeal.

“This deal allows us to support utilities with complete, end-to-end systems that help them meet modern water management challenges,” a Georg Fischer spokesperson said.

The acquisition also strengthens Georg Fischer’s position in Germany, Europe’s largest water-infrastructure market, while giving it a platform to push further into the Middle East and Asia, where urban water systems are expanding fast. For VAG, the appeal is access to a global sales network and deeper pockets.

Risks remain. Water systems are shaped by local regulation, engineering standards and politics. Integrating two industrial cultures is rarely smooth. And selling “solutions” is harder than selling hardware: it requires closer ties with public clients and longer project cycles.

Still, consolidation in the stormwater business looks likely. As rainfall grows more erratic and pipes grow older, cities will need smarter ways to manage water they once took for granted. Georg Fischer is betting that, in the fight against floods, owning the valves is a good place to start.