EC Gives Greenlight to Terni Acquisition by Arvedi
The European Commission has given the greenlight to the acquisition of special steel producer Terni by Acciaieria Arvedi, according to an official note of the EC Dec. 15. The closing is expected to be done by January 2022, the Italian steelmaker told S&P Global Platts Dec. 15.
The European Commission received Nov. 17 the notification of the proposed acquisition of the whole of Acciai Speciali Terni S.p.A. (AST) from thyssenkrupp Stainless GmbH by Acciaieria Arvedi.
On Sept. 16, thyssenkrupp had announced that it was selling its stainless steel mill unit of Acciai Speciali Terni (AST), including the associated sales organization in Germany, Italy and Turkey, to Italian steel producer Arvedi and that the transaction was subject to approval by the supervisory board of thyssenkrupp AG and of the EC Antitrust.
AST, often referred to as Terni, is the only integrated stainless mill in Italy. It has the capacity to produce around 1.3 million mt/year of crude steel, of which 70% is stainless and the rest is carbon steel. According to unions contacted by S&P Global Platts, the company is likely to reach its 1 million mt production target this year.
Arvedi’s core business is primary steel production and processing. Arvedi is Italy’s second largest steelmaker with a capacity of around 4 million mt of crude steel. Arvedi has two electric arc furnaces at its headquarters mill in Cremona. The No. 1 furnace has 1.4 million mt/year of crude steel capacity and the No. 2 furnace was upgraded and expanded last year to a capacity of 2.6 million mt/year.