Sandvik has signed an agreement to purchase DSI Underground from Triton for EUR 943 million ($1.15 billion). DSI provides ground support and reinforcement products, systems and solutions for underground mining. DSI maintains a presence in 70 countries, with 22 production sites situated close to the mines. The company’s product offering includes bolting systems, injection chemicals and resin capsules.

“This acquisition is an important step in our growth ambition,” Sandvik President and CEO Stefan Widing. “DSI Underground’s track record of driving progress and safety in underground operations and its global reach will further strengthen our world-leading market position within mining and rock solutions.”

DSI will be organized under Sandvik’s Mining and Rock Solutions division. “With the world’s most extensive choice of ground support products and systems, DSI Underground’s offering is highly complementary and enables us to deliver greater value and safety to our customers,” said Henrik Ager, president of Sandvik Mining and Rock Solutions. “The deal gives DSI Underground access to Sandvik’s substantial R&D, global service and sales network, complements our growing aftermarket business and strengthens our leadership in underground mining,”

DSI has approximately 2,000 employees and its revenue for 2020 is expected to be about EUR 518 million ($632 million), excluding the four joint ventures that are part of the acquisition. The transaction is expected to close by mid-2021 and is subject to relevant regulatory approvals.

“We would like to thank Triton for all their efforts and support: they have invested and supported us in developing significant value-added measures, for example by streamlining our processes, by taking measures to increase sales, by successfully realigning our product development and by accelerating digitization and supporting our ESG initiatives,” DSI Underground CEO Michael Reich said. “Now, we are opening a new chapter. We believe that we have a strong new industrial home in Sandvik, with good growth opportunities and strong product and geographic synergies.”