Metso Outotec has commenced operations following the merger of technology supplier Outotec with its rival Metso’s Minerals Business. Trading in the shares of the new firm has begun on the Nasdaq Helsinki stock exchange.
The two Finnish firms announced the merger plan last year (see Kallanish passim).
The new firm employs over 15,000 professionals in more than 50 countries and its illustrative combined sales for 2019 were about €4.2 billion ($4.7 billion). “The combination offers potential for significant cross-selling and cost synergies and an even stronger platform for innovation, digital leadership and growth,” says Metso Outotec.
“The growing interest towards the environment and the impacts of climate change, urbanisation, decreasing ore grades and electrification are forcing traditional industries like aggregates, minerals processing and metals refining to redefine their license to operate,” the firm adds. “Metso Outotec can drive these industries towards a responsible use of the world’s natural resources.”
Metso Outotec consists of six business areas: Aggregates, Minerals, Metals, Recycling, Services, and Consumables. Metso’s chief executive Pekka Vauramo is the new firm’s ceo, with Eeva Sipilä chief financial officer.
Among other technology, Metso Outotec manufactures iron ore beneficiation and pelletising plants. Last year Metso secured a contract to supply Tata Steel India with a scrap shredder – India’s first – as well as an order to deliver a large-scale iron ore pellet plant for Tata Steel’s Kalinganagar steelworks. NLMK, meanwhile, contracted Outotec last year to boost its Stoylensky iron ore pelletising plant’s capacity. China’s Mingtuo Group is building a high carbon ferrochrome products line supplied by Outotec.
Metso Flow Control, which was not included in the merger, has become the focused standalone flow control company Neles Corporation. It also offers solutions for the metal recycling, mining and oil and gas industries.