STOCKHOLM, Sweden, July 29, 2002 (PRIMEZONE) -- Sandvik announced in a press release on 18 June 2002 that agreement had been reached with the American owner Milacron Inc. covering acquisition of the U.S. tool company Valenite Inc. The acquisition was conditional upon approval from the appropriate antitrust authorities.
The authorities in the U.S. and Germany have now approved Sandvik's acquisition of Valenite Inc. Consequently, the conditions for implementing the purchase are fulfilled.
Valenite is a leading supplier of highly engineered metalcutting tooling solutions to the North American market. The company, with about 1,300 employees, has its head office in Madison Heights, Michigan, USA and manufacturing facilities in South Carolina, Michigan and Texas. In 2001 the company posted revenues of approximately SEK 2,000 M (USD 200 M).
The purchase price amounts to SEK 1,750 M (USD 175 M). Goodwill is preliminarily estimated at approximately SEK 1,000 M (USD 100 M). Sandvik intends to operate Valenite as a separate sector within the Sandvik Tooling business area and it will retain its own identity.
Sandviken, 29 July 2002
Sandvik AB; (publ)
For additional information, please contact Peter Larson, Executive Vice President, Sandvik AB, +46 26 26 10 60.
Sandvik is a high-technology engineering group with advanced products and world-leading positions in selected areas - tools for metalworking, machinery and tools for rock excavation, stainless steel, special alloys and resistance heating materials and process systems. The Group has 36,000 employees in 130 countries, with annual sales of approximately SEK 50,000 M (USD 5,000 M).
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