Mining and construction equipment and services company Sandvik Group will acquire African original-equipment manufacturer (OEM) of custom-engineered vibrating equipment Kwatani.
The transaction is expected to be finalised in the fourth quarter of this year, subject to regulatory approvals and other customary conditions.
Kwatani's production facility, in Johannesburg, is set to become a global engineering and manufacturing base for vibrating screens and feeders for both local and international customers, says Kwatani CEO Kim Schoepflin.
Customers in the vibrating equipment industry will benefit enormously from the combined resources of Sandvik and Kwatani, she adds.
The internationally recognised Kwatani brand will remain unchanged. Sandvik will further develop the Kwatani vibrating equipment brand globally, with increased access to the product through its global distribution network.
Customers will benefit further by having access to a vastly increased customer service network.
“We are known for our brand promise of being engineered for tonnage and we will continue to use the Kwatani brand across Africa and products sold internationally will be sold through the Sandvik sales channels under the Kwatani product name,” Schoepflin notes.
Additionally, Sandvik, through its global technology resources, will provide access to monitoring and automation processes, as well as access to its extensive research and development facilities, which include simulators.
“This will provide opportunities for driving efficiency arising from the advance of artificial intelligence in the Fourth Industrial Revolution and will significantly empower the process of cost-effective customisation,” says Schoepflin.
This is significant and exciting for the South African economy and is in line with the South African government’s industrialisation strategy.
Kwatani will continue with its commitment to transformation and compliance with the South African Mining Charter, Schoepflin assures.