SSAB has received EC approval to divest two steel service centers and 50% of the shares in NST AS to Tata Steel
februari 12, 2015 9:30 CET 6 min read
SSAB has received approval from the European Commission to sell Naantali steel service center in Finland, Halmstad steel service center in Sweden and 50% of the shares in Norsk Stål Tynnplater AS to Tata Steel in Europe. These transactions are part of the divestment remedies that the European Commission deemed necessary for the combination of Rautaruukki with SSAB. SSAB has now received the Commission’s approval regarding the divestments of all those remedies required for the combination. These transactions are still subject to the approval of national competition authorities. These transactions have only a limited impact on SSAB’s financial results.
On July 14, 2014, SSAB received the European Commission’s approval for the combination with Rautaruukki. The approval was conditional on a commitment by SSAB to divest the following assets within what was then its Nordic Steel Distribution system and Finnish construction business: one steel service center in Sweden (Halmstad) and one in Finland (Naantali), Tibnor Oy in Finland (a wholly owned subsidiary of Tibnor AB), the 50% ownership interest in each of Norsk Stål AS and Norsk Stål Tynnplater AS in Norway and Plannja Oy in Finland (a wholly owned subsidiary of Plannja AB).
As a result of the transaction, Tata Steel’s ownership of NST will increase from the current 50% to 100%.
There are 70 employees in the Naantali service center, 61 in the Halmstad service center and 50 in NST. The employees in these units will continue on unchanged employment terms and conditions.
Ongoing remedy divestments will not affect the previously communicated synergy potential or the industrial logic behind the combination of SSAB and Rautaruukki.
For further information, please contact:
Andreas Koch, Head of Investor Relations, firstname.lastname@example.org, +46 8 45 45 729
This information is published by SSAB pursuant to the requirements of the Finnish Securities Market Act and the Swedish Securities Market Act. Submitted for publication at 09.30 am CET, February 12, 2015.