G31 Divestments, assets held for sale and discontinued operations
The divestments of operations executed in 2023 and 2024 are specified below.
Business area |
Company/Unit |
Divestment date |
Annual revenue |
No. of employees |
||
|---|---|---|---|---|---|---|
2023 |
|
|
|
|
||
Sandvik Mining and Rock Solutions |
Fero Reinforcing |
July 12, 2023 |
307 MSEK in 2022 |
41 |
||
Sandvik Mining and Rock Solutions |
Siberia GT LLC |
November 23, 2023 |
N/A |
N/A |
||
Sandvik Mining and Rock Solutions |
DSI Tunneling |
November 30, 2023 |
145 MSEK in 2022 |
24 |
||
2024 |
|
|
|
|
||
Sandvik Manufacturing and Machining Solutions |
DWFritz Automation |
August 28, 2024 |
590 MSEK in 2023 |
228 |
||
Sandvik Mining and Rock Solutions |
Eimco Elecon1) |
December 13–19, 2024 |
N/A |
N/A |
||
|
||||||
Divestments and assets held for sale
Sandvik had no divestments with major impact during 2024. During the year, Sandvik divested the engineer-to-order business of DWFritz, following the communicated intention to exit non-strategic businesses. The divestment incurred a capital loss, including transactional costs, of SEK 248 million in the third quarter of 2024 and had a negative cash flow effect on the Group of SEK 30 million. Sandvik acquired DWFritz in 2021, with the intention to grow the business of DWFritz related to the trademark ZeroTouch®. The trademark ZeroTouch® was not part of the divestment, and will remain a part of Sandvik. During 2024, Sandvik also divested a minor portion of its shares in the associated company Eimco Elecon.
As of December 31, 2024, the Group recognizes SEK 395 million of assets held for sale and SEK 43 million of liabilities directly attributed to assets held for sale. The amounts are attributable to the Advanced Theodolite Technology business, reported within Sandvik Manufacturing Solutions, and shares in the associated company Eimco Elecon, reported within Sandvik Mining and Rock Solutions. Closing of the transactions is expected during 2025.
|
2023 |
2024 |
|---|---|---|
Intangible assets |
6 |
224 |
Property, plant and equipment |
20 |
79 |
Other non-current assets |
–1 |
2 |
Inventories |
36 |
29 |
Receivables |
20 |
150 |
Cash and cash equivalents |
216 |
1 |
Interest-bearing loans and borrowings |
47 |
172 |
Other liabilities and provisions |
– |
–17 |
Deferred tax assets/liabilities, net |
–61 |
– |
Net identifiable assets |
283 |
638 |
Gain/loss on divested operations |
243 |
–220 |
Consideration received after divestment costs |
52 |
–22 |
Less: Cash and cash equivalents in the divested operations |
–216 |
–1 |
Impact on the Group’s cash and cash equivalents, divested operations |
–164 |
–22 |
§ Accounting principles
Non-current assets classified as held for sale and the assets of a disposal group classified as held for sale are presented separately from the other assets in the balance sheet. The liabilities of a disposal group classified as held for sale are presented separately from other liabilities in the balance sheet.