Weir in £55m shopping spree as it extends mining footprint
ENGINEER the Weir Group yesterday said it had snapped up a trio of companies for £55m, as it extends its footprint into mining industries.
The FTSE 100 firm has bought the R Wales group of companies in Canada – which makes rubber linings for the processing industries – in a move into the North American oil sands and mining sectors.
R Wales, which also has a US facility in Arizona, generated revenues of more than C$30m (£19.3m) last year, Weir said.
Additionally, Weir has acquired two developing market foundry supply chain businesses.
It said yesterday it had bought the business and assets of the Cheong foundry in Malaysia, which supplies castings to the mining and power industries.
The last asset it has picked up on the spree is the plant, equipment and buildings of Xmeco Foundry in Port Elizabeth, South Africa, enhancing its presence in the fast-growing African markets.
The R Wales and Cheong foundry acquisitions completed earlier this month, and the Xmeco buy will complete in May.
All three acquisitions will be funded from existing bank facilities, Weir said yesterday.