International Steel Mills

Ternium, Tenaris Up Their Stake in Usiminas

July 6, 2023

Ternium and Tenaris have upped their stake in Brazilian steelmaker Usinas Siderúrgicas de Minas Gerais S.A. (Usiminas).

Ternium’s Brazilian subsidiary Confab Industrial S.A., Ternium Investments, and Ternium Argentina, collectively known as the T/T group within the controlling group of Usiminas, closed on a previously announced acquisition of 68.7 million ordinary shares of Usiminas.

The shares were purchased at a price of 10 Brazilian Reais ($2.03) per share from Japan’s Nippon Steel, Mitsubishi, and MetalOne. The total price paid for the increased shares was upwards of $139 million.

Pursuant to the transaction, Tenaris put forward approximately $23 million in cash for 11 million shares, effectively increasing its stake in Usiminas to 9.8%.

Usiminas is based in Belo Horizonte and operates iron ore mines and flat-rolled steelmaking operations throughout Brazil.

Ternium and Tenaris, both headquartered in Luxembourg, are a part of the Techint Group. Ternium is a flat-rolled steelmaker with facilities in Mexico, Brazil, Argentina, Colombia, Central America, and the US. Tenaris produces seamless and welded pipe and tube products with manufacturing facilities in 16 countries.

By Laura Miller, laura@steelmarketupdate.com

Laura Miller

Laura Miller is a reporter and editor for Steel Market Update. She has held a variety of positions within the steel industry since 2007, including reporting and editing for Steel Business Briefing/Platts, the Association for Iron and Steel Technology, and Kallanish Commodities, as well as marketing for what was then known as ThyssenKrupp Steel USA (now AM/NS Calvert). After a five-year hiatus working across other industries, she returned to steel in 2021 and has covered the flat rolled, tubular, and trade areas of the industry. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania. She can be reached at laura@steelmarketupdate.com or 724-759-7869.