JFE Steel Corporation announced that Brazil-based Vale has agreed to sell its entire equity ownership stake in California Steel Industries Inc to Nucor Corporation. California Steel Industries is a US based steelmaker in which JFE Steel and Vale currently each hold 50% equity interests. Ownership in California Steel Industries will formally change once all necessary procedures, including receipt of governmental approvals, are completed. In conjunction with this change, JFE Steel will enter into an agreement with Nucor to sell a 1% equity ownership stake in California Steel Industries to Nucor, resulting in CSI becoming a joint venture company owned 51% by Nucor and 49% by JFE Steel.The two partners will strive to grow CSI’s financial position and product footprint and to build on the values that have made CSI successful, making full use of Nucor’s local business relationships and operational expertise. As the largest steel company in North America, Nucor is a leading supplier of steel and steel products to the construction and infrastructure end markets. These are key markets for CSI, which is also looking to supply materials for Nucor’s business in the western United States.California Steel Industries IncEstablished: 1984Location: Fontana, California, USACapital: USD 40 millionProposed Ownership: Nucor 51%, JFE Steel 49%Business: Manufacture and sale of steel products (hot-rolled steel sheet, cold-rolled steel sheet, surface-treated steel sheet and steel pipe)Facilities:Hot-rolling mill (3 million st per year)Cold-rolling mill (1.1 million st per year)2 galvanizing lines (450,000 st per year and 250,000 st per year)2 ERW steel pipe mills (400,000 st per year and 250,000 st per year)(st: short ton, equivalent to 0.9072 metric tonne)
JFE Steel Corporation announced that Brazil-based Vale has agreed to sell its entire equity ownership stake in California Steel Industries Inc to Nucor Corporation. California Steel Industries is a US based steelmaker in which JFE Steel and Vale currently each hold 50% equity interests. Ownership in California Steel Industries will formally change once all necessary procedures, including receipt of governmental approvals, are completed. In conjunction with this change, JFE Steel will enter into an agreement with Nucor to sell a 1% equity ownership stake in California Steel Industries to Nucor, resulting in CSI becoming a joint venture company owned 51% by Nucor and 49% by JFE Steel.The two partners will strive to grow CSI’s financial position and product footprint and to build on the values that have made CSI successful, making full use of Nucor’s local business relationships and operational expertise. As the largest steel company in North America, Nucor is a leading supplier of steel and steel products to the construction and infrastructure end markets. These are key markets for CSI, which is also looking to supply materials for Nucor’s business in the western United States.California Steel Industries IncEstablished: 1984Location: Fontana, California, USACapital: USD 40 millionProposed Ownership: Nucor 51%, JFE Steel 49%Business: Manufacture and sale of steel products (hot-rolled steel sheet, cold-rolled steel sheet, surface-treated steel sheet and steel pipe)Facilities:Hot-rolling mill (3 million st per year)Cold-rolling mill (1.1 million st per year)2 galvanizing lines (450,000 st per year and 250,000 st per year)2 ERW steel pipe mills (400,000 st per year and 250,000 st per year)(st: short ton, equivalent to 0.9072 metric tonne)
