Atlas Copco AB announced yesterday it plans to divest its Road Construction Equipment division. The road construction equipment division is marketed to 37 countries under the Dynapac brand and includes heavy rollers for asphalt and soil applications, planers, and pavers. Manufacturing facilities are in Sweden, Germany, Brazil, India and China and employ 1,265 workers.
According to the company's January 11 press release,the reason for the planned divestment is that the division does not have the economies of scale to become number one or two in this market segment. With the divestment, Atlas Copco aims to find a better owner for the business.