ArcelorMittal and Nippon Steel complete acquisition of Essar Steel

ArcelorMittal announces the completion of the acquisition of Essar Steel India Limited and concurrently creates a joint venture with Nippon Steel Corporation called ArcelorMittal Nippon Steel India Limited, which will own and operate ESIL. ArcelorMittal owns 60% of AM /NS India shares and Nippon Steel on the balance sheet. Aditya Mittal, President and Chief Financial Officer of ArcelorMittal, has been named Chairman of AM /NS India and Dilip Oommen has been named CEO of AM /NS India.

AM /NS India is an integrated flat products manufacturer and the largest steel company in western India. The current level of annual production of crude steel is 7.5 million tons. It also has iron ore pellets in eastern India with an annual production of 14 million tons per annum. India's AM /NS plans include

The intention is to increase the supply of finished steel to 8.5 million tonnes in the medium term. This will be achieved by first completing ongoing capital expenditure projects and leveraging experience and best practices to ensure efficiency gains, and then commissioning additional assets while improving product quality and product valuations to ensure higher margins;

Long-term commitment to increase finished steel shipments to 12-15 Mt by adding new metallurgical and metallurgical assets so that AM /NS India can play an active role and fully benefit from the expected growth in the Indian steel industry.

Aditya Mittal said: “India is a large and strategic market and we are delighted to be here. Our goal is to create sustainable and long-term value by becoming the leading steel producer in the country. Essar Steel has quality facilities that provide us with immediate and substantial production capacity, and we also have an excellent platform for further growth, both in terms of volume and quality of products. This acquisition gives us the opportunity to contribute to India's expansion in infrastructure and urbanization over the coming decades. To do this, we have a targeted capital expenditure plan, designed with our combined management strength, work experience, commitment to safe, sustainable steel production and industry-leading research and development in mind. Through our proven partnership with Nippon Steel