In a move designed to capture a share of the intelligent mining market, Zyfra – a software company developing AI and IIoT solutions – have acquired VIST Group, an industry leader in the development and implementation of technologies for intelligent mining.
A nascent industry with significant disruptive potential, intelligent mining applies next-generation technologies to optimise production speed, quality, and costs in mining. At 2 billion rubles ($30 million), the purchase is a relatively small one, but will assist Zyfra with two goals: developing cutting-edge digital industrial solutions for mining, and expanding its international footprint: the company currently operates in Finland, China, Russia, Bulgaria and India, but through the acquisition will expand operations to Belarus, Mongolia and Morocco, before moving even further afield.
“Via several acquisitions and organic business growth, we are absolutely on track to reach our $30m sales target for 2018 as part of our wider strategy to become a leading integrated digital industrial solutions vendor,” said ZYFRA CEO Igor Bogachev.
Investment in AI and digital solutions is becoming a growing priority for leading industrial and technology players, even in traditionally conservative industries like mining. Along with internal research, many of these companies are turning to carefully targeted acquisitions to help bolster their capabilities.
Zyfra and VIST have been in a strategic partnership since July, but with this acquisition, Zyfra will take full control of a range of technical solutions covering the entire spectrum of mining processes. Due to a slump in commodity prices three years ago, many of these solutions have yet to be integrating into the mining industry in most countries.
Over the last few months, however, rising commodity prices have made the industry ripe for disruption, and with this strategic purchase, Zyfra could now fulfil its ambition of occupying a significant share of the global intelligent mining market.