Global steelmaking and mining giant Evraz Group S.A. has announced the signing and closing of the sale of its wholly-owned subsidiary Evraz Vitkovice Steel (EVS) to a group of private investors (Martinley Holdings Limited, Nabara Holdings Limited, Vitect Services Limited, Hayston Investments Limited and Dawnaly Investments Limited, with each buying 20 percent of EVS), for a gross consideration of $89 million adjustable for the actual level of EVS working capital. In addition, the buyers have assumed $198 million of EVS debt liabilities, including the repayment of $128 million of Evraz's inter-company debt.
Evraz will use the sales proceeds for general corporate purposes, including, but not limited to, the repayment of some of its debt.
EVS, which has been a part of the company since November 2005, is a manufacturer of hot rolled steel products located in Ostrava in the Czech Republic. In 2013, EVS produced 571,000 mt of steel products.