By Alex MacDonald
LONDON--Steel titan ArcelorMittal (MT) said Wednesday that it
has sold a 48.1% stake in international engineering company Paul
Wurth Group to SMS Holding GmbH for EUR300 million, in keeping with
its plan to reduce net debt by selling non-core assets.
The Luxembourg steelmaker, however, noted that the Paul Wurth
divestment will have a minimal impact on ArcelorMittal's net debt
of $22 billion as the sale cash proceeds will be offset by the
deconsolidation of Paul Wurth's cash balance.
The cash balance primarily represents customer advances held by
Paul Wurth, ArcelorMittal said. The transaction is subject to
regulatory approval and is expected to be completed by the end of
the third quarter of 2012.
The SMS group is a group of companies active in the supply of
plants and machinery to the steel and nonferrous metals processing
industry.
ArcelorMittal said it plans to make further disposals in coming
quarters.
-Write to Alex MacDonald at alex.macdonald@dowjones.com
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