Salzgitter to sell stake in Vallourec

Germany's second-largest steelmaker Salzgitter AG decided to sell its 17 percent stake in French pipe maker Vallourec SA in an effort to raise cash capital for takeovers. Salzgitter will sell Euro 1.2 billion (around $1.5 billion) of Vallourec stock and Euro 350 million (around $450 million) of mandatory exchangeable stocks. The stake sell will increase financial flexibility for forthcoming opportunities in steel tubes and metal trading businesses, Salzgitter said in a statement.