Epiroc has agreed to acquire Fordia Group Inc., a Canadian manufacturer of exploration drilling tools. Fordia Group is based in Montreal, Canada, and has sales in more than 70 countries. It provides exploration drilling tools such as diamond bits, down-the-hole tools, drill rods and drill casings, as well as water treatment systems and pumps, used by mining houses and drilling contractors.
Its solutions are known in the industry to benefit customers by, for example, improving penetration rates and extending bit life. Fordia has about 250 employees and had revenues for the 12 months ending September 2018 of about CAD 85-million (about R920-million).
“The acquisition is strategically important as we increase our focus on the exploration segment,” says Helena Hedblom, Epiroc’s senior executive vice president Mining and Infrastructure. “The solid team at Fordia will play a key role as we continuously strengthen our value offering to customers.”
The acquisition is expected to be completed in the first quarter of 2019. The purchase price is not material relative to Epiroc’s market capitalisation and is not disclosed. The business will become part of Epiroc’s Rock Drilling Tools division, and will continue to be based in Montreal.