ArcelorMittal is selling its 48.1 per cent stake in Paul Wurth Group to german holding company SMS GmbH.
LUXEMBOURG—ArcelorMittal is selling its 48.1 per cent stake in Paul Wurth Group to german holding company SMS GmbH.
SMS acquired another 11 per cent from Luxembourg-based fund Luxempart
This transaction is in line with the declared ArcelorMittal’s strategy of selective divestment of non-core assets.
Paul Wurth Group designs and supplies engineering and technological solutions for the iron and steel industry, and other metal sectors. It has an automation and engineering division in Waterloo, Ont.
It generated the a 2011 net profit of CAN$22.5 million (EUR18.2 million)and employs more than 1,600 workers.
SMS Holding GmbH buys and operates companies that supply plants and machinery to the steel and nonferrous metals processing industry. In 2011, its 11,000 employees generated sales of over $3.7 billion.
The transaction is subject to customary closing conditions, including but not limited to competition clearance, and is expected to be completed by the end of the third quarter of 2012.
ArcelorMittal posted $94.0 billion revenues in 2011 and produced 91.9-million tonnes of crude steel, representing approximately six per cent of world steel output.