Sweden’s mining equipment giant Sandvik has acquired a 95% stake in Premier Machine Tools.

PMT is a Kildare-based supplier of CNC machine tools and carbide cutting tools to the manufacturing and metal cutting sector in Ireland.

PMT’s main customer base is medical customers in Ireland, with full coverage of machines, tools and services.

Established in 2000, Premier Machine Tools has 14 employees and was owned by Ciarán Dillane (52), who spoke for 85% of the shares, and Catherine Murran, who owned 15% of the company.

PMT Premier Machine Tools Ltd booked a net profit of €900,000 in 2021 after reporting a net loss of €310,000 the prior year. Net worth at period end was €2.9m, including €2m cash.

In Association with

According to filings, in January 2022 the company lent Dillane €1.5m to be used as a bridging loan for the acquisition of a new family home.

In a statement, Sandvik said the transaction parties have agreed not to disclose the purchase price.

Nadine Crauwels, president of Sandvik Machining Solutions, commented: “PMT provides additional capabilities for Sandvik to grow within the medical segment, bringing strong relationships with key manufacturers of medical implants.

“We can build on PMT’s medical machining know-how and, together with Seco’s medical sales and application experts, expand into selected markets.”

Sandvik had turnover of €10.6bn in 2022, and the group has c.40,000 staff.

According to Renatus, PMT was advised on the deal by an RDJ legal team led by Diarmaid Gavin, Maria Walsh and Marie Jennings (Corporate and Commercial); Mark Barrett, Mark Ludlow and David Rodgers (Tax); Sinead Morgan (Employment); and Georgina Wallace (Real Estate).

Photo: Sandvik manufactures huge mining machines.