The world's largest steelmaker ArcelorMittal has announced its intention to acquire 60 percent of the entire issued share capital of DSTC FZCO, a Dubai-located newly-incorporated distribution company.
DSTC FZCO distributes approximately 120,000 mt of products every year, mostly to the construction sector. Its revenues in 2007 were around 70 million euros.
Together with DSTC FZCO, ArcelorMittal intends to purchase the main business of another steel distributor in the United Arab Emirates (UAE), Dubai Steel Trading Company LLC (DSTC LLC).
These targeted acquisitions are in line with ArcelorMittal's plan for the creation of a fully-fledged distribution network for long and flat steel products in the Gulf Cooperation Council (GCC) area.
The financial details and terms have not been disclosed.