Weir to acquire ESCO Elecmetal Fundición Limitada for $75 million
Mining technology firm Weir has entered into an agreement to acquire the remaining 50% share of its Chile-based joint venture ESCO Elecmetal Fundición Limitada (ESEL) for £56 million ($75m).
The deal will strengthen the company’s direct market channels and manufacturing capabilities in South America and accelerate its long-term market growth opportunity in the region, Weir stated a press release on Friday.
Established in 2007 between Weir’s ESCO division and Chilean metallurgical company Elecmetal, the ESEL joint venture was created to distribute ground engaging tools for the South American mining industry. Its operations include a foundry built in 2012, which Weir said will extend the company’s global manufacturing footprint and support further capacity optimization across its network.
“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 optimization of our manufacturing footprint globally,” Weir CEO Jon Stanton said in the news release.
“The transaction will also accelerate our go-direct strategy in Chile, mirroring the success we’ve achieved in other ESCO geographies. With full operational control, we will enhance our Weir network to grow market share and capitalize on Chile’s long-term structural tailwinds in mining, particularly in copper.”
The deal, which remains subject to customary net debt and working capital adjustments, is expected to close in the first quarter of 2026.