The acquisition of Allied establishes an enhanced sales, service and support platform for Sandvik's growing North American customer base. It also enables Sandvik to expand the existing dealer network into new regions and to penetrate new customer segments with a broader product offering. Allied will obtain additional strength and access to cutting edge technology.
Allied and Sandvik Mining and Rock Technology have had a strategic partnership since 2003, with Allied being the US distributor for Rammer products. Sandvik Mining and Rock Technology was already a 21 per cent minority shareholder of the company and Sandvik's products generates about 80 per cent of Allied's revenues.
In 2019 the company generated revenues of approximately US$29 million with 38 employees. The purchase price is not being disclosed and the transaction is expected to close during the third quarter 2020.