Marcegaglia buys 80 percent stake in Italian cold-drawn pipes producer

According to Italian media, Italian steel group Marcegaglia has announced it has finalized a deal to buy an 80 percent stake in Novero SpA, a Turin-Italy based producer of cold-drawn precision pipes. Financial details of the transaction were not disclosed. Novero's annual revenue stands at about €20 million while the company employs about 80 people. Under Marcegaglia, Novero chief executive Massimo Novero will remain in that position. The acquisition fits with Marcegaglia's strategy of strengthening its core business. The aim is to increase Novero's production of 12,500 mt of cold-drawn pipes annually to 20,000 mt, with a turnover of over €40 million.