Ternium announced a definitive agreement with thyssenkrupp AG to acquire CSA Siderúrgica do Atlântico Ltda. (CSA) in Brazil for $1.3 billion. With the purchase of CSA, Ternium will acquire production capacities of up to 5 million metric tons of slabs per year, substantially increasing its steelmaking capacity. The transaction, which is expected to close on or before Sept. 30, supports Ternium’s new integration opportunities for the manufacture of sophisticated finished steel products and strengthens its business in strategic industrial sectors across Latin America.
Ternium is a leading Latin American steel producer – with annual crude steel production of 6 million tons and shipments of 9.8 million tons – with production facilities in Mexico, Argentina, Colombia, the southern U.S. and Guatemala.
Under a slab supply contract agreed up to 2019, CSA will continue to deliver an annual 2 million tons to the ArcelorMittal/Nippon Steel plant in Alabama.