Acquisition set to create enhanced sales, service and support platform with broader product offering
SANDVIK Mining and Rock Technology have signed an agreement to acquire Allied Construction Products LLC, US distributors of hydraulic hammers and manufacturers of compactor plates and mounting brackets, for an undisclosed sum.
The acquisition of Allied, which is expected to complete during the third quarter of 2020, will establish an enhanced sales, service and support platform for Sandvik’s growing North American customer base.
It will also allow Sandvik to expand the existing dealer network into new regions and to penetrate new customer segments with a broader product offering, whilst Allied, who have 38 employees, will gain additional strength and access to cutting-edge technology.
Allied and Sandvik Mining and Rock Technology have had a strategic partnership since 2003, with Allied being the US distributor for Rammer products.
Sandvik Mining and Rock Technology are already 21% minority shareholders in the company and Sandvik products generate about 80% of Allied’s revenues, which amounted to approximately US$29 million in 2019.