NSSMC has made the European special steel maker Ovako AB a wholly owned subsidiary
Nippon Steel & Sumitomo Metal Corporation entered into a share purchase agreement in March 2018 with funds advised by Triton to acquire Ovako AB which is headquartered in Sweden and manufactures and sells special steel aimed mainly at the European market.
Having completed all necessary procedures including the competition authorities’ examination, NSSMC hereby announces that it has acquired all of the Ovako shares and made the company a wholly owned subsidiary on 1st June. From now onwards, both companies will promote business operations in an integrated manner under common business policies as members of the NSSMC Group.
Special steel is used as a vital input for various industries, such as the automobile, industrial equipment, wind power generation, and robot industries, and it is expected that demand for it shall continue to grow steadily. From now on, the NSSMC Group will bring together Ovako’s highest quality products (i.e., the global top-level technology regarding high-cleanliness steel for bearing steel and other such products) and NSSMC’s strengths, whereby the company will provide better products, technologies, and services on a global basis. Through these, Nippon wish to better serve our customers and to strengthen and expand its global special steel business.
NSSMC and Ovako will ensure that each company reach their full potential and realise synergies in an early stage to strengthen the position of the NSSMC Group as “The Best Steelmaker with World-Leading Capabilities”, thereby aiming to achieve sustainable growth and enhance our corporate value in the mid- to long-term.