The Strasbourg Chamber of Commerce has decided in favor of the Italian metallurgical company Marcegaglia in the competition to purchase the steel plant Ascometal in Fos-sur-Mer, France. Marcegaglia promises to provide jobs for all employees of the plant and invest approximately €600 million in its modernization.
The modernization plan
The modernization plan includes expanding the productivity of the electric arc furnace, building a new continuous casting machine (CCM), and a modern hot rolling mill. It is expected that the total production capacity of the plant will be 1.6-2 million tons of steel annually.
Strategic importance
This initiative will be a key part of the company’s strategy aimed at integrating the value creation chain and reflects the strategic importance of the factory’s location in Fos-sur-Mer near the port of Marseille for the supply of raw materials and logistics.
Acquisition of Severstal Distribution
Previously, the company’s action was the acquisition of 100% of the shares of the Latvian Severstal Distribution (SSD), a subsidiary of the Russian company Severstal. As a result of this deal, Marcegaglia gained full control over the service center SD SIA in Riga and its subsidiaries SD Sp.zo.o. in Poland and SD OOO in Ukraine.
