Cogne approves capital increase to buy Mannesmann
Cogne Acciai Speciali has approved a €45 million ($50m) capital increase. This decision will provide the necessary financial support for the acquisition of Mannesmann Stainless Tubes from Salzgitter AG, Kallanish learns from the Italian stainless long steel producer.
In a statement, Cogne highlights that this financial operation is a significant move designed to bolster the company’s ongoing expansion and strengthen its position in the special steel industry. It aims to enhance its portfolio and expertise in the global market.
The acquisition is expected to be finalised in the fourth quarter. Cogne, a subsidiary of Walsin Lihwa, is committed to expanding its global reach and catering to increasing demand from the aerospace, nuclear, medical, and energy sectors. As part of its ongoing efforts to improve operations, the company is currently investing in the modernisation of its Aosta plant in Italy. This includes revamping the cooling chamber of the continuous casting machine for special steel blooms. The upgrade was implemented during this year’s four-week summer shutdown.
The steelmaker recently expanded its operations by acquiring ComSteel Inox, its main stainless steel scrap supplier, and a portion of Outokumpu’s long products business in Degerfors and Storfors, Sweden.
Since it was acquired by Walsin Lihwa, it has grown through a series of mergers. Last year, it completed the acquisition of Sheffield-headquartered Special Melted Products (SMP). Walsin is investing over €110 million ($121m) in Cogne’s Aosta plant between 2022-2024. The growth strategy involves gaining market share in Europe and Asia, and developing the group’s presence in the US (see Kallanish passim).
Natalia Capra France
