Brazilian steel distributor Sacchelli agrees to acquire Swiss Steel Brasil

Brazilian steel distributor Aços F. Sacchelli has signed an agreement to acquire 100% of Swiss Steel Brasil, strengthening its position in the Brazilian and wider Latin American steel distribution market.

Sacchelli describes itself as Brazil's largest and longest-established distributor of steels for mechanical engineering, while Swiss Steel Brasil is a major domestic distributor of tool steels and a subsidiary of the Swiss Steel group. The transaction will therefore combine Sacchelli's engineering steel activities with Swiss Steel Brasil's position in tool steels and special alloys.

Deal subject to closing conditions

Completion of the acquisition remains subject to conditions specified in the purchase agreement. Sacchelli will take over Swiss Steel Brasil's operations once these conditions have been fulfilled. Financial details of the transaction were not disclosed.

The acquisition is expected to broaden Sacchelli's product portfolio and strengthen its technical and logistics capabilities. In particular, the company plans to combine its established distribution business for engineering and mechanical construction steels with Swiss Steel Brasil's expertise in tool and special-alloy steels.

According to Wagner Sacchelli, Managing Director of Aços F. Sacchelli, the combination will enable the company to offer customers a more comprehensive range of steel products with greater availability once the transaction has been completed.

Source: Sachelli, Photo: Fotolia