Sandvik completes the acquisition of screens and feeders manufacturer Kwatani
Sandvik has successfully completed its acquisition of Kwatani, a South African company specializing in screens and feeders for the mining industry.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Sandvik has successfully completed its acquisition of Kwatani, a South African company specializing in screens and feeders for the mining industry. In 2020, Kwatani reported revenues of approximately 175 million SEK with an EBIT margin that is slightly dilutive to Sandvik's Rock Processing Solutions. Initially, the acquisition is expected to have a neutral impact on Sandvik's earnings per share. Kwatani will be integrated into Sandvik's Stationary Crushing and Screening division.
Positive
- Acquisition of a leading supplier enhances product offering in mining.
- Kwatani generated revenues of 175 million SEK in 2020, indicating a strong market presence.
- Integration into Sandvik's Stationary Crushing and Screening division could lead to synergies.
Negative
- EBIT margin from Kwatani is slightly dilutive to Sandvik's existing operations.
- Initial impact on earnings per share is expected to be neutral, indicating no immediate financial uplift.
Details
News Market Reaction – SDVKY
The recorded move for SDVKY in the trading session of this news was -1.14%.
Data tracked by StockTitan Argus. Session date unavailable.
AI-generated analysis. How Rhea-AI works. Not financial advice.
SANDVIKEN, Sweden, Dec. 9, 2021 /PRNewswire/ -- Sandvik has completed the previously announced acquisition of the South African based company Kwatani, a leading supplier of screens and feeders for the mining industry. The product offering includes screens, feeders, fine separators, drives and services.
In 2020 Kwatani had revenues of about 175 million SEK and an EBIT margin slightly dilutive to Sandvik Rock Processing Solutions. Impact on Sandvik's earnings per share will initially be neutral.
The company will be reported in Stationary Crushing and Screening, a division in Sandvik Rock Processing Solutions.
Stockholm, December 9, 2021
Sandvik AB
For further information, contact Louise Tjeder, Vice President Investor Relations, phone: +46 70 782 6374 or Johannes Hellström, Press and Media Relations Manager, phone: +46 79 098 2670
This information was brought to you by Cision http://news.cision.com
The following files are available for download:
Sandvik completes the acquisition of screens and feeders manufacturer Kwatani |
View original content:https://www.prnewswire.com/news-releases/sandvik-completes-the-acquisition-of-screens-and-feeders-manufacturer-kwatani-301441466.html
SOURCE Sandvik
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.