Brazilian steelmaker Gerdau has declined to comment on the potential sale of long product mills in the US, but a spokesperson told SteelOrbis the company is maintaining its strategy of focusing on its best performing assets.
In particular, sources in the US told SteelOrbis that Gerdau could sell its rebar facilities in North America, including Rancho Cucamonga, Sayreville and Knoxville, to Commercial Metals Company (CMC). Gerdau declined to comment on the potential deal in August during the IABr conference in Brasilia, when rumors began to surface. After other media reports mentioned the potential sale as a way to raise funds to reduce debt, a Gerdau spokesperson told SteelOrbis that the company would not comment on “market rumors.”
Other media reports have recently speculated that Gerdau could also sell its operations in India, but Gerdau declined to comment.
The Brazil-based company has recently divested from several businesses, including a 50 percent stake at its Colombian mill Gerdau Diaco, and more recently, a $154 million long steel mill in Chile.
Gerdau told SteelOrbis it has raised so far BRL 2.8 billion from all asset sales.