Hunan Province-based Chinese steelmaker Hunan Iron and Steel Group (Valin Group) has announced that leading global steel producer ArcelorMittal plans to establish a long-term partnership in the field of automotive steel sheet with the company. Accordingly, ArcelorMittal plans to increase its stake from 49 percent of shares in Valin ArcelorMittal Automotive Steel Co., Ltd (VAMA) to 50 percent.
Jointly established by Valin Group’s subsidiary Hunan Valin Iron & Steel Co. (Valin Steel) and ArcelorMittal, VAMA was put into operation in June 2014. It has a total registered capital of RMB 2.6 billion, with 51 percent and 49 percent stakes currently held by Valin Steel and ArcelorMittal, respectively.
At present, Valin Steel is carrying out a major reorganization of assets, with a 51 percent stake in VAMA to be transferred to its parent company Valin Group.