Sandvik Materials Technology has signed an agreement to divest its stainless wire business to Zapp Group, a German family-owned supplier of advanced metal products. This completes the full scope of the divestment plan for the welding and stainless wire operations.
The deal includes the production unit in Sandviken, Sweden and the global sales organization, along with selected trademarks and patents; and approximately 145 employees, of which the majority are in Sandviken. Revenues for the stainless wire business amounted to SEK 310M in 2017 and the enterprise value is SEK 183M.
âI am pleased that we have further consolidated the business portfolio to the core operations of Sandvik. Zapp is a focused and strong player in its field, providing a solid platform for the stainless wire business and its employeesâ?, says Björn Rosengren, President and CEO of Sandvik.
Closing of the divestment is expected in the third quarter 2018, following fulfillment of customary closing conditions.
