Russia-based Mechel has announced that it is selling its 100 percent stake in UK-based steel plant Invicta Merchant Bar and its debts to Mechel to privately-owned Helium Miracle 127 LLP for £1.1 million.
Invicta Merchant Bar was part of Mechel since 2011. At the time of its stoppage in January this year, it employed 78 people.
Mechel stated that the sale of Invicta Merchant Bar's sale was carried out in line with the company's strategy of divesting assets that are not part of its priority development areas. Considering the lingering crisis in Europe's steel industry, Mechel's assets located in this region are of no added value to Mechel's shareholders and their sale is expected to improve operational cash flow, Mechel said.