Gerdau buys long steel producer Silat for $111 million

Gerdau announced on Wednesday (27) the acquisition of Siderúrgica Latino-Americana (Silat), for US$ 110.8 million (the equivalent of R$ 470 million), to expand in the country. Silat, located in Caucaia, in the metropolitan region of Fortaleza, is a long steel rolling mill with a capacity of 600,000 tons annually. The agreement involved the 96.35% purchase of Silat from Spanish Hierros Añon and Gallega de Mallas, Gerdau said in a statement. Silat is focused on the construction market, producing rebar, welded screens, steel meshes and trusses. The company was implemented in Ceará in 2012 and the project also predicted in a second stage the production of 700,000 tons per year of laminated plates for use in the shipbuilding industry, wind towers, white line and automotive, according to data from the government of Ceará. There would also be a third phase of expansion of the company, with the production of wrinkles. The investment in the first phase would be R$ 300 million, according to the Government of Ceará.