Atlas Copco Secoroc has agreed to acquire U.S. based NewTech Drilling Products, LLC. The acquisition adds a new type of high-quality product to the Swedish industrial group’s offering for mining and oil and gas drilling.
Based in Salt Lake City, Utah, NewTech develops and manufactures drilling products with a focus on rotary PDC (polycrystalline diamond compact) drill bits as well as klaw bits for rotary soft rock mining. These durable tools are designed to be both impact and wear resistant and the PDC bits are particularly suited to shallow, land-based drilling applications. NewTech, which is privately owned, currently employs 20 people and had revenues in 2011 of $6.5 million.
“This acquisition broadens our range of products and extends our expertise for existing customers in the mining, construction and oil and gas industries,” said Bob Fassl, business area president, Atlas Copco Mining and Rock Excavation Technique. “We look forward to combining NewTech’s product development competence with the strength of the Atlas Copco brand and the global reach of our sales force.”
NewTech will be part of Atlas Copco’s division Rock Drilling Tools within the Mining and Rock Excavation Technique business area. The acquisition is expected to be closed in the fourth quarter.