12th Dec 2025 11:33
(Alliance News) - Weir Group PLC on Friday said it is acquiring the remaining shares in a ground engaging tools manufacturer, previously one of the firm's joint ventures.
The Glasgow-based engineering firm, focused on mining and infrastructure, said the purchase of Santiago, Chile-based ESCO Elecmetal Fundicion Limitada, known as Esel, is for GBP56 million.
Weir noted that the deal, which is expected to close in the first quarter of 2026, strengthens its manufacturing capabilities and speeds up growth in Chile.
Esel was established in 2007 and is a joint venture between Weir's ESCO division and Elecmetal, a metallurgical company based in Santiago.
Weir Chief Executive Officer Jon Stanton said: "We are delighted to have reached this agreement to acquire the remaining share of our Esel joint venture in Chile following a long and successful partnership with Elecmetal. This strategic move strengthens our ability to serve customers across South America, expands our foundry capacity in the region and with our world-class engineering capabilities, will enable further optimisation of our manufacturing footprint globally."
Weir shares fell 0.4% to 2,924.00 pence each on Friday morning in London.
By Tom Budszus, Alliance News slot editor
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