Arcelor Mittal has announced today that it will sell Stahlwerk Thüringen GmbH (SWT) to Spanish Grupo Alfonso Gallardo for €591 million.
Located in Unterwellenborn, Thüringen,
Germany, SWT is a 100 percent-owned subsidiary of Arcelor Mittal. With an annual
production capacity of around one million tons, SWT produces steel sections up to 550 mm in width used in building and
construction.
The sale is a part of Mittal Steel's commitments to the European Commission made during the recommended merger of Arcelor S.A and Mittal Steel N.V. Moreover, Mittal's commitments to the European Commission also cover the sale of Travi e Profilati di Pallanzeno (
Italy) and Mittal Steel's section and bar mill Huta Bankowa (
Poland).
Commenting on the SWT sale, Aditya Mittal, CFO of Arcelor Mittal, said: “Stahlwerk Thüringen is a high quality facility and I am delighted that this transaction fully values its potential. I am sure that under the leadership of Grupo Alfonso Gallardo it will continue to thrive.”
The transaction, the closing of which is subject to European Commission approval and applicable antitrust clearances, is expected to be completed in early 2007.