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Oerlikon strengthens its market access and service offering with the acquisition of Laser Cladding Services™

Strengthening Surface Solutions technology portfolio Pfäffikon Schwyz, Switzerland – November 25, 2015 – Today, Oerlikon announced that it has signed an agreement to acquire the business of Laser Cladding Services, LLC., in Houston, Texas, USA – a company specialized in laser cladding applications for the energy industry. The acquisition extends and improves the Surface Solutions Segment’s service offering in laser cladding and opens up access to key customers in the US energy sector.

Oerlikon continues the strategic development of its surface solutions services business and further expands its laser cladding technology expertise through the acquisition of Laser Cladding Services. The acquisition not only strengthens the Oerlikon Surface Solutions Segment’s existing laser cladding business, but is also complementary with its thermal spray offering, thereby broadening the Segment’s portfolio of services for customers.

The acquisition allows Oerlikon to extend its footprint in North America, where Laser Cladding Services is based, and also in the energy and oil & gas sectors, in which laser cladding is largely applied. Both parties have agreed not to disclose the purchase price.

Dr. Brice Koch, CEO of the Oerlikon Group, said: “One of our strategic focus is to reinforce the foundation of our surface solutions business in order to ensure its further growth. The acquisition is another important step in our investments for the Surface Solutions Segment, allowing us to strengthen our offering and foothold, particularly in the US.”

Laser cladding is a state-of-the-art surface technology using a laser beam to deposit materials and layers onto a substrate or to fabricate near-net shape parts. The method enables a full metallurgical bond to the base material, which in turn improves corrosion resistance and wear properties. In addition, laser cladding makes it possible to coat thin-walled components and also thinner layers can be applied compared to PTA or conventional weld overlay. These advantages make laser cladding particularly suitable for applications in demanding areas where a high degree of accuracy and performance is needed, such as with turbine blades, drilling equipment and pump components in the energy sector.

“Laser Cladding Services is an ideal fit to our existing Surface Solutions business. It enhances our existing laser cladding offering and broadens our service portfolio. Furthermore, it opens up attractive business opportunities in the energy market and in other geographic regions and industries,” comments Dr. Roland Herb, CEO of Oerlikon Surface Solutions Segment.

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