Commercial Metals Company announced Monday that its wholly-owned subsidiary Commercial Metals International GmbH has entered into a share purchase agreement with Moravia Steel a.s. whereby CMC has agreed to sell its 11 percent interest in Trinecke Zelezarny a.s., a joint-stock company organized and existing under the laws of the Czech Republic to Moravia, the majority owner of Trinecke for a purchase price of US$29 million. The transaction is anticipated to close within the month.
Joe Alvarado, President and Chief Executive Officer, commented, "We appreciate and are proud of our long standing and successful relationship with Moravia through our investment in Trinecke. The sale of our interests is evidence of the commitment we have made to our shareholders of continuing to focus on our core assets and improving our cost structure and cash flows."