SSAB intends to divest its rock bolt business unit in Virsbo to U.S.-based Jennmar
SSAB has entered into an agreement with the intention to divest its expandable rock bolts unit in Virsbo to U.S.-based Jennmar. In total, 66 people are affected by the acquisition and have received an offer to continue their employment with Jennmar.
SSAB's unit in Virsbo.
Rock bolt manufacturing is not part of SSAB's core business and Jennmar already has a portfolio of products for mining and infrastructure. Therefore, Jennmar is better positioned to develop the business in Virsbo and achieve higher growth.
"I am very pleased that such an established company is interested in taking over the rock bolt production and continuing to develop it. They have extensive experience in the mining industry and also manufacture their own expandable bolts in the U.S.," says Sara Valentin Eklöw, responsible for operations in Virsbo and sales director for SSAB's expandable rock bolts.
SSAB's expandable rock bolts are made of high-quality steel from the Nordic region and manufactured exclusively at SSAB in Virsbo. The expandable rock bolts are sold to mines and tunneling projects worldwide, with main markets established in Europe, North and South America.
"There is currently no market for rock bolts with high strength steel and since SSAB's Special Steels division has the strategy to focus on value added products using our high strength steel, it makes sense to divest this part of the business," says Per Elfgren, Head of SSAB Special Steels.
Jennmar is a privately owned 100-year-old company based in the U.S. and employs approximately 4,000 people globally. They manufacture and sell products primarily to the industry, mining and infrastructure sectors.
The transaction is expected to be finalized in the first quarter of 2025.
For more information, please contact:
Anna Molin, Press Officer at SSAB, anna.molin@ssab.com, +46 76 110 46 76