Sandvik divests its stainless wire business
Sandvik's business area Sandvik Materials Technology has signed an agreement to divest its stainless wire business to Zapp Group, a German family-owned leading supplier of advanced metal products. This completes the full scope of the divestment plan for the welding and stainless wire operations, initially announced on 17 May 2017.
The deal includes the production unit in Sandviken, Sweden and the global sales organization, along with selected trademarks and patents; in total approximately 145 employees, of which the majority in Sandviken. Revenues for the stainless wire business amounted to 310 million SEK in 2017 and the enterprise value is 183 million SEK.
“I am pleased that we have further consolidated the business portfolio to the core operations of Sandvik. Zapp is a focused and strong player in its field, providing a solid platform for the stainless wire business and its employees”, says Björn Rosengren, President and CEO of Sandvik.
Closing of the divestment is expected in the third quarter 2018, following fulfillment of customary closing conditions.
For further information, contact Ann-Sofie Nordh, Vice President Investor Relations, tel: +46 8 456 14 94 or Martin Blomgren, Press and Media Relations Manager, tel: +46 70 577 05 49.
Stockholm, 19 June 2018