Booming ArcelorMittal Expands In Brazil
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The world's largest steelmaker, ArcelorMittal made the news again on July 25 when it announced that it has acquired a 70% stake in Brazilian steel processer and distributor Manchester Tubos e Perfilados. The deal will allow ArcelorMittal to reinforce its downstream position and steel service centre network in Brazil, following their April 3 acquisition of a 50% stake in Gonvarri Brasil, which owns two construction plants in Campinas and Curitba. Privately-owned Manchester was founded in 1989, and currently boasts an annual capacity of 240,000 tonnes for end products and 60,000 tonnes per year for processed products, and in 2007 had net sales of BRL270mn (US$171mn). Located in Contagem, Minas Gerais, Manchester services the Brazilian construction and automotive industries, with construction its key service area.