Our partner Weir, a global leader in mining technology, has signed a binding agreement to acquire the remaining 50% of ESCO Elecmetal Fundición Limitada (ESEL), its Chile-based joint venture, thereby consolidating full control of the company and strengthening its direct-to-market strategy in the region.

The transaction involves a purchase price equivalent to £56 million (US$75 million), subject to customary adjustments for net debt and working capital. ESEL is recognized for manufacturing high-quality ground contact tools, a key component for mining operations.

With this acquisition, Weir will strengthen its direct-to-market channels and manufacturing capabilities in South America, accelerating long-term growth opportunities in the LATAM region. It will also allow the company to move towards a direct-to-consumer model in a strategic market, supported by strong structural drivers in the mining sector.

The transaction will also strengthen ESCO’s “go-direct” strategy, supporting the division’s growth and increasing its market share through world-class technology and closer customer relationships.

The transaction is expected to close during the first quarter of 2026, subject to customary trading conditions. Upon completion, ESEL will be integrated into the South American region within Weir’s ESCO division. The deal will be financed with existing debt facilities and will not impact Weir’s previously reported net debt guidance for fiscal years 2025 and 2026.