ArcelorMittal completes sale of plant in Bosnia
ArcelorMittal has completed the sale of ArcelorMittal Zenica and ArcelorMittal Prijedor, its metallurgical and mining enterprises in Bosnia and Herzegovina, to H&P d.o.o. Zvornik, part of the Pavgord Group, Kallanish reports.
The sale was first announced in June, after the signing of the purchase and sale agreement (see "Callanish" dated June 20).
ArcelorMittal has previously stated that it has made significant investments and efforts to keep ArcelorMittal Zenica and ArcelorMittal Prijedor as part of the group.
"However, after a thorough strategic analysis, the company came to the conclusion that the sale is the best solution for the development of the business and its employees," she adds.
According to the terms of the deal, ArcelorMittal's shares in ArcelorMittal Zenica and ArcelorMittal Prijedor will be sold to Pavgord Group, and the jobs of all employees will be transferred to the new owner. After deducting the proceeds from the sale, the company expects to receive a non-monetary loss on disposal in the amount of approximately $200 million, including foreign exchange losses recorded in equity from the acquisition date.
"We are grateful to the Government of Bosnia and Herzegovina, as well as the Federation and Republika Srpska for the support that the company has provided throughout its 21 years of operation in the country," Sanjay Samaddar, Vice President and CEO of ArcelorMittal, said in June. "We believe that the company will continue to make a significant contribution to the economy of Bosnia and Herzegovina, and we thank all our employees at ArcelorMittal Zenica and ArcelorMittal Prijedor for their hard work and passionate work over the years and wish them all the best for the future, as well as the Pavgord Group this year. a new stage".
ArcelorMittal Zenica is the largest producer of long products in the Balkans with a capacity of 700,000 tons per year. The main product range includes rebar in bars and coils, wire rod, mesh and lattice beams.
Svyatoslav Abrosimov Bulgaria
Kallanish.com