SSAB announced plans to divest Ipsco Tubulars, its North American tubular operations, to Evraz for $4.025 billion. The agreement involves the sale of 12 tubular locations, including the Regina (Saskatchewan) and Koppel (Pennsylvania) steel mills, the Regina coil-processing facility and related scrap facilities. SSAB will retain the majority of the steel production capacity it acquired as part of its 2007 acquisition of Ipsco, including steel mills located in Mobile, Ala., and Montpelier, Iowa.
Evraz has also entered into definitive back-to-back agreements with OAO TMK and its affiliates to sell certain of the acquired U.S. businesses for $1.2 billion. Evraz also expects to sell the remaining acquired U.S. businesses of Ipsco Tubulars to TMK for approximately $500 million in 2009.
Evraz to Buy Ipsco Tubulars
March 17, 2008