Gerdau to buy Spanish specialty steelmaker

Brazilian steelmaker Gerdau SA announced Monday it has struck a deal for its Sidenor division in Spain to acquire Spanish specialty steelmaker GSB Acero for approximately US$143.2 million in cash. Sidenor will also assume US$14.1 million in debts as part of the deal to buy GSB from its parent company CIE Automotive SA. The deal is expected to be completed by the end of the year after approval from the relevant parties, including the Spanish anti-monopoly authorities. GSB Acero has two plants in Spain with a total production capacity of 200,000 metric tons of specialty steel products per year. The Gerdau group operates 30 facilities in South and North America, specializing in the production of long products. Gerdau also acquired a 40 percent stake in Sidenor earlier this year.