Sandvik, the European advanced stainless steels and special alloys maker, is looking to expand aggressively in the US and recently concluded three acquisitions as part of this strategy.
The Swedish company announced Thursday that it had completed the acquisition of Pennsylvania-based Summerill Tube Corporation, a manufacturer of seamless and welded tubing in stainless steels and nickel alloys for the aerospace, transportation, and petrochemical industries. Summerill generated annual revenues of $11mn (SEK 100mn) with 45 employees and was sold in Dec 2019 to Sandvik for an undisclosed amount.
Sandvik signed the acquisition agreement on December 20, 2019, as part of its growth strategy to increase its presence in the US. Michael Andersson, Head of Tube Division, Sandvik Materials Technology said that expanding the company’s stainless steel and high nickel tubes business in the US market is a priority.
On January 2, 2020 Walter, a division within Sandvik Machining Solutions, reached an agreement to acquire the privately owned US Melin Tool Company, a manufacturer of solid carbide and steel tools. Melin Tool has an annual revenue estimate of $22mn with 100 employees.
On January 6, 2020, Sandvik acquired another privately owned US company, Thermaltek Inc, a North Carolina manufacturer of high temperature furnace systems and metallic heating elements. Thermaltek generated annual revenues of $13mn (SEK 130mn) and has 30 employees. Both acquisitions were also closed at an undisclosed amount.
US$1 = SEK 9.4 (as on January 16, 2020)