Arcelor and Votorantim sign an agreement in long steel

ArcelorMittal Brazil and Votorantim celebrated on Wednesday (22), a contract whereby Votorantim Siderurgia will become a subsidiary of ArcelorMittal and Votorantim will hold a minority share in the capital of ArcelorMittal Brazil.
According to statement released yesterday, the business combination should result in a long steel producer with annual production capacity of 5,600,000 tons of crude steel and 5,400,000 tons of laminates and can generate synergies, logistical and operational costs.
The agreement includes ArcelorMittal Brazil plants in Monlevade, Juiz de Fora, Cariacica, Piracicaba and Itaúna. Involves the Votorantim Siderurgia plants in Barra Mansa, Resende and participation in Sitrel, in Três Lagoas.
Long steel operations of Votorantim in Argentina (Acerbrag) and Colombia (PazdelRío) were not included.
The production units of enterprises combined are geographically complementary. But until the completion of the operation-that depends on regulatory approval, the companies will operate separately and independently.