Moscow, Russia — July 19, 2013 – Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, reports selling 100% of shares of British-based steel plant Invicta Merchant Bar and its debt to Mechel to privately-owned Helium Miracle 127 LLP for 1.1 million pounds sterling.
Invicta Merchant Bar is a steel plant producing round, square and strip long rolls of various steels, located on Britain’s south-east coast. It was part of Mechel Group since 2011. At the time of its stoppage in January 2013, it employed 78 people.
“Invicta Merchant Bar’s sale was made in line with our strategy of divesting assets that are not part of the Group’s priority development areas. Considering the lingering crisis in Europe’s steel industry, the Group’s assets that are located in this region are of no added value to Mechel’s shareholders, and their sale is due to improve our operational cash flow and help the company’s deleveraging,” Mechel OAO’s Chief Executive Officer Evgeny Mikhel noted.
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