Deals
Atlas Copco Plans Split in Two to List Mining Tool Business
- CEO Ronnie Leten to leave and be replaced by Mats Rahmstrom
- New company for mining equipment could become target: analyst
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Atlas Copco AB plans to break itself up and list its mining tools business in the biggest-ever shakeup of the Swedish company that could spark takeover interest.
A newly created mining and construction-equipment company with annual sales of about 28 billion kronor ($3.1 billion) will be spun off in a tax-free distribution of shares to investors, the Stockholm-based company said in a statement on Monday. Under the plan that will see the departure of longstanding Chief Executive Officer Ronnie Leten, Atlas Copco will retain the compressor and vacuum businesses that have revenue of 74 billion kronor.