On July 15, Stockholm, Sweden-based industrial manufacturing conglomerate Sandvik announced the completion of the acquisition of custom tooling manufacturer Peterson Tool Company. The company will be reported in the GWS Tool business unit in Walter, a division within the business area Sandvik Manufacturing and Machining Solutions. PTC is headquartered in Nashville.
“The acquisition of Peterson Tool Company is well aligned with the shift to growth strategy to enhance our presence in the North American market and continuing GWS’ strong track record of growth,” says Stefan Widing, CEO and president of Sandvik.
“I am pleased that we continue to execute on our shift to growth strategy by expanding our offering towards the important general engineering and automotive segments,” added Nadine Crauwels, president of Sandvik Machining Solutions. “Peterson Tool Company adds to the GWS’ solid position within custom cemented carbide solutions and is a great fit for our business area.”
Sandvik reports that PTC had revenues of $9 million and an EBITA margin neutral to Sandvik Manufacturing and Machining Solutions. The company projects that the impact on Sandvik’s earnings per share will be limited, yet slightly positive.
Sandvik also released its second-quarter earnings on July 15. The company’s 2Q revenue was $2.6 billion, with a growth rate of 25% year-over-year. Its profit for the 2Q period was $254 million.