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ArcelorMittal to Acquire Venezuelan Pipe Manufacturer Unicon

01/10/2008 - ArcelorMittal enters definitive agreement to acquire Unicon, the leading manufacturer of welded steel pipes in Venezuela.

ArcelorMittal has entered a definitive agreement to acquire Unicon, the leading manufacturer of welded steel pipes in Venezuela.
 
Unicon, which supplies the Oil & Gas and Industrial & Construction sectors both domestically and overseas, recorded total shipments of 552,000 tonnes for the year ending March 2007.  The company employs 2445 people across six pipemaking facilities in Venezuela.
 
According to ArcelorMittal, the purchase supports its strategy to strengthen the company’s welded steel pipes business in South America.
 
“Unicon is an excellent company, commanding a leading position in Venezuela,” said Aditya Mittal, CFO and Member of the ArcelorMittal Group Management Board. “This highly complementary acquisition will help us expand our position in the fast growing Americas market.”
 
The transaction is subject to customary closing conditions. ArcelorMittal states that it will disclose further relevant information once the transaction closes.
 
ArcelorMittal is the world's largest steel company, with 320,000 employees in more than 60 countries. The company leads a number of major global markets, including automotive, construction, household appliances and packaging, with leading R&D and technology, as well as sizeable captive supplies of raw materials and outstanding distribution networks. An industrial presence in 27 European, Asian, African and American countries exposes the company to key steel markets, from emerging to mature, positions it will be looking to develop in the high-growth Chinese and Indian markets.
 
ArcelorMittal’s key pro forma financials for 2006 show combined revenues of USD 88.6 billion, with a crude steel production of 118 million tonnes, representing around 10% of world steel output.