Walter, a division within Sandvik Machining Solutions, owned by Sandvik AB, Stockholm, Sweden, has acquired solid carbide tools manufacturer Melin Tool Company, headquartered in Cleveland, Ohio, USA. The acquisition is expected to further strengthen Walter’s round tool offering, especially for the aerospace industry and the US channel partner market.
The Melin Tool Company generated revenues of $22 million with 100 employees in the twelve-month period ending September 2019. The transaction was closed on December 31, 2019, and the deal is neutral to Sandvik earnings per share from the start. The parties have agreed not to disclose the purchase price.
“By this acquisition, we will further strengthen our round tools offering which is in line with Sandvik Machining Solutions’ growth strategy,” commented Lars Bergström, President of Sandvik Machining Solutions.
Richard Harris, President of Walter, stated, “I am very pleased that we have reached an agreement to acquire Melin Tool Company as it increases our market presence, and has a strong innovation focus and high service level that is aligned with Walter’s approach to doing business.”