CSN signs term sheet to sell Germany’s SWT to Megasa for EV of EUR 550 million
SID•CSN Inova Ventures entered a binding term sheet to sell German steel producer Stahlwerk Thüringen to Spain’s Megasa group at an enterprise value of EUR 550 million, subject to adjustments. The proposed sale is part of CSN’s effort to reduce leverage and simplify its capital structure.
1. Proposed sale
CSN Inova Ventures entered a binding term sheet to sell Stahlwerk Thüringen, a German long-steel producer, to Spain’s Megasa group. The term sheet sets the enterprise value at EUR 550 million, subject to adjustments, and provides for an exclusivity period of up to 10 weeks while definitive agreements are negotiated before closing.
2. Steel capacity
Stahlwerk Thüringen has annual steel capacity of 1.1 million metric tons. CSN bought the asset in 2012, and the proposed divestment forms part of its effort to reduce leverage and simplify its capital structure.
