Gerdau Group, the leading producer of long products in the Americas, has announced the signing of a purchase agreement to acquire a 50.9 percent stake in Colombian coke producer Cleary Holdings Corp.
The transaction, which is valued at $59 million, remains subject to approval by regulatory agencies in Colombia.
Cleary Holdings Corp. has an annual production capacity of 1.0 million mt of coke, while its coking coal reserves are estimated to be 20 million mt. The company exports its entire output to the US, Peru, Canada and Brazil.
This acquisition is in line with Gerdau Group's growth strategy in the Americas and represents an important step in order to assure basic inputs for steel production.