AHMSA Revokes Stake Sale Agreement with Villacero
Mexican integrated steelmaker Altos Hornos de Mexico has revoked a sale agreement it had with a group of investors led by Villacero Group due to Alianza's incompliance of contract clause. Grupo Acerero del Norte, which owns AHMSA, notified Alianza of the company's decision on August 17. It said “In a notice signed by Alonso Ancira Elizondo, as the representative of GAN's controlling shareholders, the contract document had legal irregularities and lacked validity and, as such, was ineffective.”
AMMI said in a statement that it will fully comply, in due time and form, with the purchase agreement signed with the Ancira family, in its capacity as shareholders of GAN.
Alianza Minerometalurgica Internacional, a group of investors led by Villacero, was to buy 55% stake in Grupo Acerero del Norte, the holding company that controls Mexican steelmaker Altos Hornos de Mexico. Ahmsa and Villacero agreement, announced in June last year, is expected to add operational synergies and consolidate their capacity in steel production and processing.