Mittal Steel Company N.V. (Rotterdam, the Netherlands) received final approval to acquire a 36.67-percent share of Hunan Valin Steel Tube & Wire Company for U.S. $338 million. With the transaction now closed, the transfer could take place within the next few days.
Hunan Valin is one of the largest steelmakers in China, with annual steel production capacity of 8.5 million tons. It is listed on the Shenzhen Stock Exchange.
"This is a key strategic transaction for Mittal Steel as it marks our first step into China, the world's fastest growing steel market," said Mittal Chairman and Chief Executive Lakshmi N. Mittal. "We are very much looking forward to our collaboration with Hunan Valin, and are confident that we can help the company further improve on its market position by providing marketing, procurement and technological knowledge and expertise."
Mittal is one of the world's largest global steel companies, with operations in 14 countries on four continents. It serves the appliance industry and other major steel-consuming industries.
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