The French group Vallourec, specializing in seamless tubes, announced that the steelmaker ArcelorMittal would become its new reference shareholder (AFP/ERIC PIERMONT)
The French group Vallourec, specializing in seamless tubes, announced on Tuesday that the steelmaker ArcelorMittal would become its new reference shareholder by purchasing the stake previously held by the American fund Apollo for 955 million euros.
“ArcelorMittal has entered into an agreement to purchase the stake of 28.4% of the voting rights and 27.5% of the capital held by Apollo,” details the company in a press release.
Vallourec, which specializes in seamless tubes for the oil and gas industry, came out of the red last year following shock therapy that included the closure of its German factories and the loss of 3,000 jobs.
“We are turning the page on financial restructuring, then rescue, the turnaround of the group,” Philippe Guillemot, CEO of Vallourec, commented to AFP on Tuesday.
“We are moving from a leading financial reference shareholder to an also leading industrial shareholder with whom we have a lot in common, in particular strong convictions on the necessary decarbonization of our industry and support for the transition. energy,” he observed.
The ArcelorMittal Dunkirk steelworks in Mardyck, in the North, February 11, 2022 (AFP/FRANCOIS LO PRESTI)
ArcelorMittal, the world’s second largest steelmaker based in Luxembourg and present in the CAC40, is currently only directly present in the welded tubes business. He succeeds Apollo, who entered the capital of Vallourec in 2021, then in great difficulty.
“This is a new profession that ArcelorMittal is entering into, which has a promising future,” judges Philippe Guillemot, citing CO2 capture, geothermal energy or green hydrogen storage – activities in which the management intends to diversify.
The transaction is expected to be completed in the second part of 2024, following receipt of the necessary regulatory approvals.
“Vallourec and ArcelorMittal will begin discussions on a shareholders’ pact”, with “a representation of 2 seats on the board of directors for ArcelorMittal upon completion of the operation (subject to negotiations)”, details Vallourec, which confirms to passage its financial outlook.
© 2024 AFP
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