22 Jun 2007
Luxembourg - Arcelor Mittal has bught a majority stake in the Chinese steelcord maker, Rongcheng Chengshan Steel Cord Co. based in Shandong province. The deal is subject to certain legal and financial conditions.
A spokesman for Arcelor Mittal said the sale price is around $27 million (€20 million) and that the Chinese company reported sales of RMB 375 million (€36.7 million) in 2006. The spokesman said it was a small deal for Arcelor Mittal.
Rongcheng Chengshan makes steel cord and bead wire for the tyre industry. Indian press reported production volume of around 60 000 tonnes per year and quoted Chinese media saying ArcelorMittal would own 90 percent of the company after the deal goes through.
This is an external link and should open in a new window. If the window does not appear, please check your pop-up blocking software. ERJ is not responsible for the content of external sites.
DNA Money (India) story
Subscribe for unlimited access. A subscription to European Rubber Journal includes:
Already a subscriber? Log in here
