SCM, Smart-holding transfer stakes in five companies to Metinvest
The SCM Group (Donetsk) and Smart-holding (Kyiv) as part of ongoing business restructuring as envisaged in its agreement between the two groups, have transferred large stakes in five mining and metal companies of Ukrainian to Metinvest B.V., the parent company of an international vertically integrated steel and mining group of companies Metinvest, reads a press release of Metinvest published on Monday.
The following blocks of shares were transferred to the Metinvest Group: 23.5% of shares in public joint-stock company Tsentralny Iron Ore Enrichment Works, 15.0% of shares in public joint-stock company Pivnichny (Northern) Iron Ore Enrichment Works, 26.0% of shares in public joint-stock company Zaporizhia Coke Plant and 31.3% of shares in public joint-stock company Donetsk Coke Plant.
Smart Group transferred 3.1% of shares in public joint-stock company Inhulets Iron Ore Enrichment Works.
As a result of the transfer, Metinvest Group consolidated 99.5% of the share capital of Tsentralny Mining, 78.3% of the share capital of Pivnichny Mining, 85.6% of the share capital of Inhulets Mining, 51.0% of the share capital of Zaporizhia Coke and 69.9% of the share capital of Donetsk Coke.
The press release says that the main goals of the share transfer is to fulfill the agreement between SCM Group and Smart Group regarding the consolidation of metals and mining assets, as well as to establish the targeted structure for the Metinvest Group and improve business transparency and efficiency.
Metinvest is an international vertically integrated mining and steel company owning 24 assets in Ukraine, Europe and the United States and managing each link of the production chain – iron ore and coal mining and coke production through to semi-finished and finished steel production; including the manufacturing of plate and coil, pipe rolling, shapes and bars and other value-added products.
Metinvest Group belongs to private joint-stock company System Capital Management (71.25%) and Smart-holding (23.75%).
Metinvest Holding Ltd. is the Metinvest Group's managing company.
