Sandvik to acquire CGTech
- October 28, 2020
CGTech’s main offering is VERICUT, software that is compatible with machines and cutting tools from any manufacturer and works stand alone or in conjunction with all major CAM suppliers.
The company will be slotted into Sandvik Coromant, a division within Sandvik Machining Solutions.
"This is in line with our strategic focus to grow organically and through acquisitions in the digital manufacturing space, with special focus on software solutions close to machining," says Stefan Widing, president and CEO of Sandvik.
The acquisition is expected to enhance Sandvik’s position in key areas of the manufacturing value chain.
"It's exciting to say that we are able to expand our capabilities with CGTech. This will not only strengthen our leading market position in all parts of the world but will as well enable us to take a big step forward in offering full machining solutions to our customers, which will reduce waste significantly in their broader value chain," says Nadine Crauwels, president of Sandvik Machining Solutions.
CGTech, headquartered in California with about 180 employees, reported 2019 revenues of about US$53 million. The deal is expected to close during the last quarter of 2020 after regulatory approvals.