“Our priority has been to find a buyer also for the remaining long products operations in Degerfors and Storfors. We are pleased that in Cogne Acciai Speciali we have a found a responsible new owner for these operations as well,” said Matti Louhija, head of Outokumpu’s mergers and acquisitions.

“At the same time, the divestment is a further natural step for Outokumpu in line with our strategy to focus purely on our core business, stainless steel flat products and ferrochrome.”

Completion of the sale is pending regulatory approval, but is expected in the next few months, Outokumpu said.

Headquartered in Aosta, Italy, Cogne Acciai Speciali is a producer of long stainless steels and nickel alloys and has casting, rolling, forging and cold working capabilities. The company said the acquisition will allow it to build up a Nordic presence.

“Today's transaction represents the first step in the announced growth process to strengthen our position as a global leader in the production of special long stainless steels. We are pleased to welcome the Outokumpu Long Products team into our family, whose expertise and professionalism will be fundamental to support our growth strategy,” said chief executive Massimiliano Burelli.