Sandvik has signed an agreement to divest Sandvik Process Systems to FAM AB, owned by the three largest Wallenberg foundations, at a price of 5.0 billion SEK.
Sandvik Process Systems delivers advanced industrial process solutions based on high-end steel belts, stell belt based equipments and process solutions with adjacent technologies. In 2016, the operations, with approximately 600 employees, has reported revenues of SEK 1.7 billion, representing 2% of Sandvik’s total revenues and with a strong operating margin.
“This is an important step in focusing Sandvik on its core businesses. The divestment creates additional capacity for growth and expansion of the core business of Sandvik”, says Björn Rosengren, President and CEO of Sandvik.
“We look forward to further develop, together with management and the employees, the Process Systems business as an independent company with strong focus on profitable growth”, says Lars Wedenborn, CEO FAM.
The closing of the transaction is expected to take place in early 2018 and is subject to the approval of the relevant authorities. Upon closing, the transaction will generate a substantial capital gain.
Read the article online at: https://www.worldcement.com/europe-cis/02062017/sandvik-to-sell-sandvik-process-systems-to-fam-ab/