Sandvik completes the acquisition of metrology and automation company DWFritz Automation

Rhea-AI Summary

Sandvik has finalized its acquisition of DWFritz Automation, a prominent US-based provider of precision metrology and automation solutions. DWFritz recorded approximately SEK 720 million (around USD 78 million) in revenue for 2020, but its EBIT margin was slightly dilutive to Sandvik's existing operations. The acquisition is expected to have a neutral impact on Sandvik's earnings per share initially and will be integrated into the Metrology division under Sandvik Manufacturing and Machining Solutions.

Positive

• Expansion into precision metrology and automation solutions through DWFritz.
• Potential for enhanced product offerings in Sandvik's Metrology division.

Negative

• DWFritz's EBIT margin is slightly dilutive to Sandvik's existing operations.

STOCKHOLM, Oct. 4, 2021 /PRNewswire/ -- Sandvik has completed the previously announced acquisiton of US based DWFritz Automation, a leading global provider of precision metrology, inspection- and assembly solutions for advanced manufacturing. DWFritz Automation designs, builds and supports engineer-to-order high-speed, non-contact metrology solutions and automation systems.

In 2020, the company had revenues of approximately SEK 720 million (USD 78 million) and an EBIT margin slightly dilutive to Sandvik Manufacturing and Machining Solutions. Impact on Sandvik's earnings per share will initially be neutral.

The company will be reported in the Metrology division, within business area Sandvik Manufacturing and Machining Solutions.

For further information, contact Louise Tjeder, VP Investor relations, phone: +46 (0) 70782 6374 or Johannes Hellström, Press and Media Relations Manager, phone: +46 (0) 70721 1008.

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Sandvik completes the acquisition of metrology and automation company DWFritz Automation

 

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SOURCE Sandvik

FAQ

What is the significance of Sandvik's acquisition of DWFritz Automation?

The acquisition enhances Sandvik's capabilities in precision metrology and automation, expanding its product offerings.

What were DWFritz Automation's revenues in 2020?

DWFritz Automation had revenues of approximately SEK 720 million (USD 78 million) in 2020.

How will the acquisition of DWFritz affect Sandvik's earnings per share?

Initially, the acquisition is expected to have a neutral impact on Sandvik's earnings per share.

In which division will DWFritz Automation be integrated within Sandvik?

DWFritz Automation will be integrated into the Metrology division under Sandvik Manufacturing and Machining Solutions.

What was the EBIT margin for DWFritz Automation relative to Sandvik?

DWFritz Automation's EBIT margin is slightly dilutive to Sandvik's existing operations.