Latin America's largest steel producer, Brazil-based Gerdau Group, has agreed to buy a 30.45 percent stake in Dominican Republic's Industrias Nacionales CA (Inca) for $42 million.
Inca is a longs producer with a yearly production capacity and sales of 400,000 metric tons, most of which are rebars. A 98.57 percent stake of Inca has been under the control of Multisteel Business Holding Corp.
Commenting on the purchase, Gerdau CEO Mr. Andre Gerdau Johannpeter stated, "This operation assures the entry of the Gerdau Group in a new steel consumer market that is in full expansion and is part of our growth strategies in the Americas".
The partnership between these two companies will give Inca new investments, access to technical and managerial assistance, and support for distribution of its products.