The world's largest integrated mining and steel company ArcelorMittal has announced the signing of an agreement with Germany-based Primex for the acquisition of the outstanding 35 percent stake in Primex's Turkish stainless steel service center Uginox Sanayi ve Ticaret Limited Sirketi (Uginox) by ArcelorMittal Stainless International.
Uginox was formed in 1997 as a 65:35 joint venture between Arcelor and Primex, respectively.
Uginox operates a coil processing and service centre in Istanbul's Gebze region and its business is dedicated to servicing the fast growing automotive and white goods markets. In 2007, Uginox processed about 38,000 mt of stainless steel and had revenues of about $102 million.
Following the acquisition, ArcelorMittal has also decided to gradually double the size of its stainless service operations in Turkey over the coming years. The acquired company will from now on be named as ArcelorMittal Istanbul Stainless Service Turkey.
Commenting on the acquisition, Jean-Yves Gilet, CEO of ArcelorMittal Stainless, said, "This transaction consolidates our positions on a fast growing market and allows us to follow our key customers from the appliance and automotive sectors in their own development."