Tuesday, Aug 16, 2005
Ispat buys up plant
$300 m deal for largest steel plant in Bulgaria
SOFIA (BULGARIA): Global Steel Holdings Ltd., a unit of India's Ispat group, owned by members of the Mittal family, said on Monday it had completed a deal to buy a 71 per cent stake in Bulgaria's largest steel maker, Kremikovtzi. The price of the deal was not announced.
Global Steel Holdings bought the stake from the Sofia-based Finmetals Holding AD. The Bulgaria's Government owns a 25.29 per cent stake in the steel mill, and the remaining shares are owned by individual shareholders. "Global Steel Holdings plans to invest $300 million (euro 242 million) in the steel mill over the next three years," the company said in a statement.
After the deal, Global Steel reshuffled Kremikovtzi's management, appointing Pramod Mittal as chairman of the Supervisory Board, and Alok Gupta as executive director, among other changes. The Kremikovtzi steel mill is the largest steel maker in Bulgaria. — AP
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