ESAB Corporation announced the signing of a definitive agreement to acquire Quebec-based Eddyfi Technologies in a transaction valued at $1.45 billion. This strategic union not only expands ESAB’s technological capabilities, but also strengthens its positioning as a comprehensive provider of industrial workflow solutions.
ESAB acquires Eddyfi and expands high-margin technologies
Eddyfi is recognized for its leadership in advanced inspection technologies, remote monitoringremote monitoring and robotics applied to non-destructive testing (NDT). By integrating ESAB, it is expected to contribute close to US$270 million in revenues and up to US$100 million in adjusted EBITDA, considering projected synergies. This will enable ESAB to accelerate its transition to a higher value-added portfolio.
The transaction will be financed through a combination of cash on hand, debt and 318 million in committed capital. ESAB will retain the workforce and headquarters of Eddyfi in Quebec, reaffirming its intention to preserve local talent and capabilities. In addition, the company expects to generate synergies of $20 million per year once the integration of systems and processes is completed.
Strengthening presence in key industries
With this acquisition, ESAB expands its reach in high-growth sectors such as defense, nuclear energyaerospace and critical infrastructure. ESAB’s Enterprise Business Excellence System (EBXai) will be applied to maximize the operational performance of the new business unit.
According to preliminary estimates, ESAB projects core revenues between US$2.85 billion and US$2.95 billion by 2026, with core aEBITDA that could reach up to US$595 million. The company also anticipates a net leverage ratio below 3.0x by the end of that same year, consolidating its financial position after the acquisition.
Source: ESAB
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