Ukrainian iron and steel holding Metinvest spent $750 million on 99.8% of the Zaporizhstal Group.
Metinvest said in its annual report that it bought a further 74.9% of Zaporizhstal Group, which used to be known as Industrial Group, for $512 million last year.
Metinvest’s stake in Zaporizhstal Group increased from 24.9% to 99.9% during 2012 and its stake in the steel mill itself from 12.5% to 49.9%.
Metinvest said that as of the end of last year its investment in Zaporizhstal was classified as a joint venture because strategic financial and operating decision-making required the participation and approval of other Zaporizhstal shareholders.
Metinvest also said its stakes in the Krasnodvuhillia coal producer and Avdeyev Coke and Chemical Works rose from 91.6% to 92.5% and from 91.7% to 92.6% respectively last year.
Metinvest increased its stake in the Khartsyzsk Pipe Works from 97.6% to 98%, that in the Azovstal Iron and Steel Works from 95.9% to 96.1%, Yenakievo Iron and Steel Works from 90.6% to 90.7% and the Ilyich Iron and Steel works from 99.1% to 99.2%.
Zaporizhstal, one of Ukraine’s biggest industrial plants, is being integrated with Metinvest, which is owned by System Capital Management (71.25%) and Smart Holding (23.75%). (SteelGuru)