You are here: Home > Steel News > Latest Steel News > Outokumpu...

Outokumpu to divest its share in Mexican joint venture for $63 million

Thursday, 01 October 2015 13:41:57 (GMT+3)   |   Istanbul
       
Finland based stainless steel producer Outokumpu has announced that it will divest its 50 percent stake in the joint venture Fischer Mexicana S.A. DE C.V. (Fischer Mexicana) for $63 million to F.E.R. Fischer Edelstahlrohre GmbH (Fischer). Founded in 1998, Fischer Mexicana was originally formed by ThyssenKrupp Mexinox and Fischer, and has become the largest stainless tube producer in Mexico.

The closing of the transaction is expected in the fourth quarter of the current year and the positive cash impact will reduce Outokumpu’s debts. Outokumpu’s own operations in Mexico will remain unchanged.

“As a joint venture, Fischer Mexicana has served its purpose well. However, as the tubular products of this joint venture are not at the core of our current business, we wanted to seize the opportunity to sell our share in the company and thereby contribute to our debt reduction efforts. Fischer remains a valued, long-standing customer that we will continue to serve with strong commitment,” stated Mika Seitovirta, CEO of Outokumpu.

Similar articles

US issues final AD margin for LD welded pipe from Canada

05 Nov | Steel News

US rig count remains the same week-on-week while Canadian rig count decreases

04 Nov | Steel News

Nucor Tubular Products to increase cutting quality with new equipment from Danieli

31 Oct | Steel News

Chinese steel pipe export offer prices move sideways, outlook turns negative

30 Oct | Tube and Pipe

EU’s organic coated sheet and wire rod import quotas for Turkey almost used up

30 Oct | Steel News

US mechanical tubing exports up 8.6 percent in August from July

29 Oct | Steel News

US rig count remains the same week-on-week while Canadian rig count decreases

29 Oct | Steel News

US structural pipe and tube exports down 4.4 percent in August from July

28 Oct | Steel News

Georgia’s steel pipe imports from Turkey up 81.8 percent in January-September

25 Oct | Steel News

US issues preliminary AD review results on heavy walled rectangular pipes from Mexico

24 Oct | Steel News