Finland-based stainless steel producer Outokumpu has announced its acquisition of Italy-based stainless steel distributor SoGePar Group from its owner the Borromeo family. Outokumpu has agreed to pay €195 million in cash and to assume debts held by SoGePar amounting to €140 million.
SoGePar operates stainless steel service centers in Italy and the UK and also has stock operations in Italy, the UK, Belgium, Finland, France and Ireland, as well as a commercial office in Germany and a representative office in Turkey.
The acquisition of SoGePar will significantly strengthen Outokumpu's position in stainless steel distribution in Italy, which, together with Germany, is the largest market for stainless steel in Europe.
The transaction is expected to be completed by the end of the second quarter.