Stainless-steel supplier Prominox has acquired the Mexican distribution business of Finnish steelmaker Outokumpu, Kallanish learns.
The agreement includes large centres in Mexico City, Guadalajara and Monterrey formerly known as Outokumpu Mexinox Distribution (OMD).
“We are delighted to incorporate Outokumpu’s solid distribution business into Prominox being confident that by adding the strategic locations and customer base to our portfolio, we are reinforcing our position as the leading stainless-steel distributor in Mexico,” says Prominox’s president, Ivette Autrique.
In a separate note, Outokumpu confirms that the divestment of the OMD unit is due in part to dedicate more resources to the strategic areas of Mexico and the US as the warehouses serve largely smaller volumes. “We will continue to fulfil customers’ orders that are served by OMD until the transaction with Prominox is completed,” Outokumpu adds.
The acquisition is now awaiting approval from Mexican authorities and other closing conditions. The transaction should be completed during the next few weeks.
Prominox and Outokumpu did not reveal any financial details of the agreement.
Todor Kirkov Bulgaria
