Sandvik acquires Allied Construction
Sandvik Mining and Rock Technology has signed an agreement to acquire Allied Construction Products LLC (Allied), a US distributor of hydraulic hammers to the construction and mining industries and manufacturer of compactor plates and mounting brackets.
The acquisition of Allied establishes an enhanced sales, service and support platform for the growing North American customer base. It also enables Sandvik to expand the existing dealer network into new regions and to penetrate new customer segments with a broader product offering. Allied will obtain additional strength and access to cutting edge technology.
Allied and Sandvik Mining and Rock Technology have had a strategic partnership since 2003, with Allied being the US distributor for Rammer products. Sandvik Mining and Rock Technology was already a 21% minority shareholder of the company and Sandvik’s products generates about 80% of Allied’s revenues.
In 2019 the company generated revenues of approximately 29 million USD with 38 employees. The parties have agreed not to disclose the purchase price and the transaction is expected to close during the third quarter 2020. The deal is neutral to Sandvik’s earnings per share from the start.
Stockholm, 9 July 2020
Sandvik AB
For further information, contact Anna Vilogorac, Investor Relations Officer, phone: +46 8 456 11 94 or Martin Blomgren, Press and Media Relations Manager, phone: +46 70 577 0549.
Sandvik acquires Allied Construction (PDF)