Brazil’s anti-trust authority, Cade, approved ArcelorMittal’s purchase of a minority stake at Brazilian welded tube producer Tuper.
Cade approved “without restrictions” the 40 percent stake acquisition for an undisclosed price—the deal indicates ArcelorMittal will assume Tuper’s debts.
Additionally, under the terms of the deal, ArcelorMittal will supply flat steel, including HRC, CRC, galvalume, among other products, to Tuper.
In June last year, Tuper made its first shipment of carbon steel welded pipes to a gas company in the state of Santa Catarina, following a BRL 15.4 million investment, the company said at the time. The funds were used to build a new pipe coating line in the city of Sao Bento do Sul, in the state of Santa Catarina, which is already operating. The facility has the capacity to produce 42,000 mt of tubes per year, the company said.
With the investment, Tuper, which is certified by the American Petroleum Institute (API) to produce steel tubes, is seeking to expand its businesses worldwide while keeping a focus on exports to the South America countries.