The Weir Group has acquired Carriere Industrial Supply (CIS), a manufacturer and distributor of parts and aftermarket service provider to the Canadian mining industry.
Its products, which include mining buckets and lip systems, help customers increase productivity through reduced downtime and improved safety.
The enterprise value for the transaction was £20m, subject to customary working capital and net debt adjustments. The consideration was paid in cash at closing.
CIS will join the ESCO division and the deal is expected to be earnings and margin accretive in year one, with returns predicted to exceed the group’s cost of capital in the first full year of ownership.
Andrew Neilson, president of Weir’s ESCO division, said: “The acquisition of CIS aligns with our strategy of providing direct sales and service to our mining customers and builds on our longstanding partnership, while also enhancing our capabilities in underground hard rock mining applications.”
Founded in 1871, Weir has become one of the world’s leading engineering businesses, with circa 11,000 employees operating in more than 60 countries - with a presence in every major mining region of the world.
Founded in 1964, CIS is headquartered in Greater Sudbury, Ontario and operates with 135 employees across Quebec.
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