Steelmaker SSAB To Buy Competitor Ruukki in $1.6B Deal

Law360, New York (January 22, 2014, 1:38 PM EST) -- Faced with a struggling European steel market, Swedish steelmaker SSAB AB has agreed to buy Finnish competitor Rautaruukki Oyj in a stock trade valued at 10.1 billion Swedish krona (US$1.56 billion), the companies said Wednesday.

The European steel market has been burdened with overcapacity, low demand, and falling steel prices, the companies said in a shareholder notice statement. The boards of the two companies have proposed a buyout deal which they say creates the “best possible conditions” for long-term profitability.

The boards recommended shareholders approve the...
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