ArcelorMittal acquires Argentine steel distributor
Steelmaker ArcelorMittal added another purchase to its South American buying spree on Tuesday, acquiring Argentina's largest steel distributor M.T. Majdalani y Cia. SA.
By Agencies |
BRUSSELS: Steelmaker ArcelorMittal added another purchase to its South American buying spree on Tuesday, acquiring Argentina's largest steel distributor M.T. Majdalani y Cia. SA.
It did not say how much it paid for the family-owned company, which sells flat stainless steel products and had a turnover of US$46 million (euro31.25 million) last year.
ArcelorMittal _ which towers over rivals with its control of 10 percent of world steel output, said Majdalani was highly focused toward its end users and would integrate perfectly within its operations in the region.
The deal will need regulatory approval, ArcelorMittal said. Demand for steel is growing in Latin America as economies there expand, calling for more steel to construct buildings, machines and cars _ just as Europe and North America face weaker growth and tougher competition from Asian imports.
In October, ArcelorMittal paid US$542 million (euro380 million) to buy a third of Argentine steel company Acindar that it did not already own. And last week ArcelorMittal said it would spend up to US$1.75 billion (euro1.19 billion) to buy out Brazilian specialty steel unit ArcelorMittal Inox Brasil SA, formerly known as Acesita.
The bid for Inox Brazil would give ArcelorMittal total control over both of Arcelor SA's main Latin American units after Brazilian regulators forced it to spend up to euro4 billion ($5.4 billion) to buy out Arcelor Brasil as part of Mittal Steel Co. NV's takeover of Arcelor.
It did not say how much it paid for the family-owned company, which sells flat stainless steel products and had a turnover of US$46 million (euro31.25 million) last year.
ArcelorMittal _ which towers over rivals with its control of 10 percent of world steel output, said Majdalani was highly focused toward its end users and would integrate perfectly within its operations in the region.
The deal will need regulatory approval, ArcelorMittal said. Demand for steel is growing in Latin America as economies there expand, calling for more steel to construct buildings, machines and cars _ just as Europe and North America face weaker growth and tougher competition from Asian imports.
In October, ArcelorMittal paid US$542 million (euro380 million) to buy a third of Argentine steel company Acindar that it did not already own. And last week ArcelorMittal said it would spend up to US$1.75 billion (euro1.19 billion) to buy out Brazilian specialty steel unit ArcelorMittal Inox Brasil SA, formerly known as Acesita.
The bid for Inox Brazil would give ArcelorMittal total control over both of Arcelor SA's main Latin American units after Brazilian regulators forced it to spend up to euro4 billion ($5.4 billion) to buy out Arcelor Brasil as part of Mittal Steel Co. NV's takeover of Arcelor.
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