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ArcelorMittal to Acquire MT Majdalani
Dec. 12, 2007 ArcelorMittal has announced its acquisition of M.T. Majdalani Y Cia. SA, Argentina’s leading stainless steel service center and distributor.
MT Majdalani Y Cia. specializes in flat stainless steel products with cut to length and slitting facility. Its sales of sheets and tubes create a highly complementary product mix and activity that is aligned with ArcelorMittal’s stainless steel activities in South America. According to ArcelorMittal, the acquisition will help to consolidate its position in the South American stainless steel distribution market
Founded in 1941, MT Majdalani has until now been entirely owned by the Majdalani family. Employing 75 people in one site located in Buenos Aires, the company sold about 12,000 tonnes in 2006 with a turnover of 46 million USD.
Strongly oriented toward its end users, MT Majdalani y Cia. is an efficient company with strongly motivated personnel, putting it in line with ArcelorMittal’s growth plan.
The acquisition transaction is being reviewed by the competition authorities.
ArcelorMittal is the world's largest steel company, with 320,000 employees in more than 60 countries. The company leads a number of major global markets, including automotive, construction, household appliances and packaging, with leading R&D and technology, as well as sizeable captive supplies of raw materials and strong distribution networks. An industrial presence in 27 European, Asian, African and American countries exposes the company to key steel markets, from emerging to mature, positions it will be looking to develop in the high-growth Chinese and Indian markets.
ArcelorMittal’s key pro forma financials for 2006 show combined revenues of USD 88.6 billion, with a crude steel production of 118 million tonnes, representing around 10% of world steel output.