Sandvik’s mining and rock technology division has signed a sale-purchase agreement for US-based Allied Construction. The company announced the deal on Thursday.
Allied is a distributor of hydraulic hammers in the construction and mining industry. It also manufactures compactor plates and mounting brackets, Sandvik noted in a news release.
The company said that Allied’s acquisition establishes an enhanced network for Sandvik’s North American customers. The companies have been partners since 2003 and Sandvik already held a 21pc in Allied before the acquisition. The financials of the deal were not disclosed.
Allied generated $29mn in revenue for 2019. The transaction is expected to be closed by the end of Q3 2020.
This agreement is part of Sandvik’s aggressive expansion strategy in North America and marks the fourth acquisition of an American company this year.