Sandvik’s acquisition of Italian manufacturer Osa Demolition Equipment (OSA) is in line with its strategy to expand in attractive niche markets, according to the suitor.
CEO Stefan Widing said OSA, a 31-year-old demolition tools and hydraulic hammers business with 64 employees and annual revenues of about US$15 million, would be added to Sandvik’s Rock Processing Solutions attachment tools division.
“OSA’s range of attachment tools will enhance Sandvik’s offering and position in the demolition and recycling segment,” Sandvik said. “Furthermore, the acquisition will provide additional growth opportunities by leveraging Sandvik’s large network of distributors. Today, OSA’s main market is within Europe, and the company also has presence in Australia and the US.”
Sandvik said the impact of the deal, expected to be wrapped up in the third quarter this year, on its EBITA margin and earnings per share would be limited and it did not disclose the purchase price.
