Atlas Copco to acquire Edwards Group for up to US$1.6 billion
ReutersSTOCKHOLM -- Swedish engineering group Atlas Copco (ATCOb.ST) said on Monday it was buying British industrial technology firm Edwards Group (EVAC.O) for up to US$1.6 billion, an investment which should help it offset volatile swings in its mining business.
August 20, 2013, 2:10 pm TWN
Atlas Copco, which employs more than 40,000, said it would acquire Edwards in an all-cash transaction and that the deal would close in the first quarter.
Edwards employs more than 3,200 and is a market leader in sophisticated vacuum pumps used in the chemical and pharmaceuticals industries. It had revenues of 595 million pounds in 2012.
Atlas has come under pressure from a weak mining industry, which has suffered as softer prices for commodities such as coal, copper and gold have raised doubts about future investment returns.
The Swedish firm's compressor and industrial business, which like mining and rock excavation accounts for roughly a third of sales, have fared better and tempered a fall in group order bookings in the second quarter.