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South Korea-based Doosan Group has sold French drilling equipment manufacturer Montabert SAS, in its entirety, to USA’s Joy Global Inc. for US$124mn
The divestiture allows Doosan to further its focus on growing its business in Europe, Middle East and Africa (EMEA).
Joy Global is a supplier of advanced equipment, systems and services for the global mining industry and employs more than 14,000 workers, spread across 20 countries. Specifically, Montabert’s line of products and equipment for hydraulic drilling fit Joy Global’s core business of designing, manufacturing, distributing and servicing high productivity mining equipment, stated Doosan.
The USA-based mining equipment manufacturer has paid US$124mn for Montabert, which generated net sales of about US$100mn in the last financial year.
“Montabert specialises in the design, production and distribution of high-quality hydraulic rock breakers, pneumatic equipment, drilling attachments, drifters and related parts and tools. This acquisition represents an important step in expanding product and service capabilities for hard rock mining, tunnelling and rock excavation, further diversifying the company’s commodity and end-market exposures. The Montabert product line will complement our existing fleet of hard rock equipment and leverage our global service centre infrastructure,” said Joy Global CEO Ted Doheny.
Aside from helping Doosan expand its presence in EMEA, the deal will also provide Montabert and its employees the opportunity to work for a global mining equipment business that is active in all major mining regions in the world.
All supply agreements between Montabert and Doosan for Bobcat and Doosan-branded products will continue.