Japan Metals & Chemicals to Acquire CaSi Makers

Japanese ferroalloy maker, Japan Metals & Chemicals announced on Tuesday the firm acquires calcium silicon and calcium silicon cored wire makers in Brazil and France. Japan Metals & Chemicals increases its competitiveness in steel making raw material business through the acquisition of the makers, which have total of about 40% share in world’s calcium silicon and wire market.

Japan Metals & Chemicals decided to acquire all of issued shares of calcium silicon and cored wire makers, Bozel Mineracao of Brazil and Bozel Europe of France. Japan Metals & Chemicals expects the deal will complete by the end of February.

Bozel S.A, which is Luxembourg based parent company of the Brazilian and French makers, filed Chapter 11 in April 2010. Japan Metals & Chemicals won the tender for the Bozel’s subsidiaries as a part of the liquidation.

Japan Metals & Chemicals and Bozel Mineracao have more than 20 years business relationship. Japan Metals & Chemicals has kept calcium silicon import from Brazil after the firm stopped production in Japan. Japanese industry consumes around 5,000 tonnes per year of calcium silicon mainly for deoxidizing agent. Japan Metals & Chemicals expects the domestic sales increase after the acquisition.

Bozel Mineracao has calcium silicon and cored wire plants with 30,000 tonnes calcium silicon making capacity per year in Sao Joao Del Rei of Minas Gerais. Bozel Europe has wire plant with 16,000 tonnes capacity in Dunkirk, France.