Severstal closes deal on sale of Dneprometiz in Ukraine, terms undisclosed

13:28, 27.10.2017 1 min read

 Severstal has sold Ukrainian company Dneprometiz.

Severstal said in a statement that its subsidiary Cambay Services Ltd has completed the sale of its wholly-owned subsidiary Dealzone Holding Ltd which holds a 98.6% stake in Dneprometiz. The company has not disclosed the terms of the deal.

"The sale of Dneprometiz will result in greater efficiency improvements at Severstal-metiz and will further enhance the profitability of the Severstal group," the press release said.

Severstal acquired 60% of Dneprometiz shares in 2006. Following this, its stake in the Ukrainian firm rose to 98.6%.

"Dneprometiz operates at high levels of capacity utilization and delivers strong financial results. At the same time, the asset is non-core to Severstal's business which is focused in Russia," the statement said.