Atlas Copco could spin off an operational area and a related division into a 12,000-employee mining and civil engineering company effective after April 2018.
The proposal by the Atlas Copco Board, announced this week, would equip the new company, comprised of the current Mining and Rock Excavation Technique Business Area and the division of Construction Tools, with a dedicated board and CEO. Operations will require no structural changes, the company reported.
“This is a fantastic opportunity. With the new company solely dedicated to mining and civil engineering we can serve our customers even better than today,” said Helena Hedblom, Business Area president, Mining and Rock Excavation Technique.
The split is planned to enable investments in growth areas like automation, digitalization and service excellence. It will be subject to approval at the Atlas Copco Annual General Meeting in April 2018. The new company is expected to be listed on the Nasdaq Stockholm stock exchange starting in mid-2018.