Published on 3 Jun 2024 on Zacks via Yahoo Finance
ArcelorMittal (MT) Buys Italpannelli's Italy & Spain-Based Units
ArcelorMittal S.A.'s MT construction arm, ArcelorMittal Construction, has closed the acquisition of Italpannelli SRL in Italy and Italpannelli Iberica in Spain. This is ArcelorMittal's second acquisition of Italpannelli businesses, following its purchase of Italpannelli Germany near Trier in March 2023.Italpannelli manufactures lightweight insulation panels for roofs and facades. It has two production units in Europe — Zaragoza (Spain) and Abruzzo (Italy). The two plants operate seven production lines with a total annual capacity of 13 million m2 of sandwich panels, principally supplying customers in central and eastern Europe, France, Germany, Italy, and Spain, and employ roughly 260 people.ArcelorMittal Construction's business gains strategic value from the acquisition. It significantly increases the company's panel business' capabilities to deliver in new markets. The buyout also provides an enhanced geographic market offering, which gives access to new regions. Moreover, it expands the company's product portfolio to include long span decking with PVC membrane, section doors and tile-shaped or corrugated sandwich panels to better serve the agricultural, residential, and coldstore segments through various channels. Notable synergies with efficiency gains and cost benefits are also identified.Shares of MT have gained 4.1% over past six months against a 3.3% decline of its industry.
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