Sandvik acquires majority stake in diamond tools manufacturer

Sandvik has acquired 80% of the Canada-based K&Y Diamond, a leading manufacturer of monocrystalline diamond tools for ultra-precision applications, with a strong position in the optics segment.

K&Y Diamond will be operated under Sandvik Coromant, a division within the Machining business segment. Both parties have agreed not to disclose the purchase price.

K&Y Diamond’s tools are primarily used in the manufacturing of spectacle lenses, contact lenses, optical lenses and optronic components, while also used in other segments with demands for super-finishing, such as aerospace and medical.

“The acquisition of K&Y Diamond brings advanced technology and strong engineering capabilities and fits very well with our strategy to strengthen our position within the attractive growth area of micro-precision tools,” says Stefan Widing, president and CEO of Sandvik.

The company, founded in 1976, is headquartered in Montreal, Canada and has 45 employees. In 2025, K&Y Diamond generated revenues of around SEK 120 million, with a strong EBITA margin. The impact on Sandvik’s EBITA margin and earnings per share will be slightly accretive.