Luxembourg-headquartered steel pipe and tube producer Tenaris has announced that it has reached an agreement with Russian steel pipe producer TMK to acquire 100 percent of the shares of its US subsidiary IPSCO Tubulars, Inc., for $1.2 billion.
According to Tenaris’ statement, the transaction should be approved by the US antitrust authorities and other customary conditions.
The acquisition would enhance Tenaris’s position and local manufacturing presence in the US market, extending its product offering and expanding its service footprint.
IPSCO Tubulars is a US domestic producer of seamless and welded OCTG and line pipe products, with an annual production capacity of 450,000 metric tons of steel bars, 400,000 metric tons of seamless pipe and 1,000,000 metric tons of welded pipe, and with production facilities spread throughout the country.