AFRICAN INDUSTRIES

At the beginning of that year, Mechel sold its factories located in Romania to a firm named Invest Nikarom. Mechel was bleeding money seriously and had to sell the factories at USD 70 that was just a symbolic price. The Romanian Media revealed that this amount surprised many people as Mechel announced earlier plans to sell these factories for USD 150 million. This sale was a part of a larger sequence of sales in Mechel’s Steel Division located in Eastern Europe. The companies revealed that production will keep going on bit they planned some layoffs.

Mechel joined the market in 2002 after the purchase of the factory located in Targoviste. From there, the group expanded throughout Romania. Previously, African Industries attempted to own Mechel factories situated in Romania as the group reached a sale of around EUR 480 million. Over ten years later, the local media announced that African Industries Group sent its representatives to meet Mechel representatives at Câmpia Turzii in order to take over the maker of steel.