STOCKHOLM, Sweden, Oct. 31, 2003 (PRIMEZONE) -- After approval from the regulatory authorities, Atlas Copco (China) Investment Company Ltd. has today acquired assets of rock drill company Shenyang Rock Drilling Machinery Co. Ltd, in China. The current yearly turnover is approximately MSEK 110. The purchase price was not disclosed.
Shenyang Rock Drilling Machinery Co. Ltd., based in Shenyang, Liaoning Province, People's Republic of China, is China's leading producer of pneumatic rock drilling equipment for the mining and construction industry. The acquisition is in line with Atlas Copco's strategy to expand the business in Asia. It will complement the strong position of the Atlas Copco brand in the mining and construction business in Greater China.
"This acquisition is unique for China, since we focus on acquiring the designs, trademarks, assembly facilities, and sales channels," says Bjorn Rosengren, Business Area Executive, Construction and Mining Technique. "Through the acquisition we get a distribution network with branches in 29 locations, which will be extremely valuable in our attempt to better penetrate the market."
A new fully owned company, Atlas Copco (Shenyang) Construction and Mining Equipment Ltd., has been formed as part of the acquisition process. This company is part of Atlas Copco's Construction and Mining Technique business area, and employs 204 people in China.
At the same time, Atlas Copco (China) Investment Company Ltd. has formed a joint venture with Shenyang Rock Drilling Machinery Co. Ltd for rock drilling component manufacturing.
The Atlas Copco Group is a global industrial group of companies headquartered in Stockholm, Sweden. In 2002, the Group had revenues of SEK 47,6 billion, with 98 percent of revenues outside Sweden, and close to 26,000 employees. Atlas Copco Group companies develop, manufacture, and market electric and pneumatic tools, compressed air equipment and generators, construction and mining equipment, assembly systems, and offer related service and equipment rental. More information is available on www.atlascopco-group.com
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