ArcelorMittal clears hurdle in Ilva purchase

Luxembourg-based ArcelorMittal has announced it has been granted merger clearance by the European Commission (EC) for its subsidiary AM Investco Italy Srl to acquire assets from Italy-based Ilva S.p.A.

EC merger clearance follows the conclusion of an investigation into the proposed acquisition of Ilva, and it has been granted on the condition that ArcelorMittal sell certain Ilva assets in Italy, Romania, Macedonia, Czech Republic, Luxembourg and Belgium to Italy-based steelmaker Marcegaglia. That agreement was previously announced in mid-April 2018. 

ArcelorMittal states, “Approval by the EC is a significant milestone in the transaction to acquire Ilva and represents a major step toward closing the deal, which is now expected to occur as soon as possible.”

At the time of the April announcement, Geert Van Poelvoorde, executive vice president and CEO of ArcelorMittal Europe Flat Products, commented, “We believe Ilva represents a compelling investment opportunity for ArcelorMittal, without compromising our balance sheet strength, as it would extend our leadership position and increase our product offering in Italy, Europe’s second largest steel manufacturing and consuming market.”