06 Oct, 2011
Salans represents RÜTGERS Group in landmark deal with SEVERSTAL
International law firm Salans has represented the RÜTGERS Group, Europe’s leading manufacturer of chemical raw materials, in forming a joint venture with Severstal, a global steel and mining company. The new “RÜTGERS Severstar” venture is worth USD26.6m through borrowed funds over five years. RÜTGERS will hold 51 % of the charter capital.
The new venture will use the facilities of the tar pitch processing shop of the coke and by-product process at Severstal’s factory in Cherepovets (Russia) to produce vacuum pitch, technical oils and naphthalene by deep conversion of coal-tar. It is scheduled to become fully operational by the 1st quarter of 2013.
The agreement was signed in Moscow by Severstal Russian Steel Division General Director Alexander Grubman, RÜTGERS Group President and CEO Mr. Henri Steinmetz and RÜTGERS Group CFO Dr. Max Padberg.
Florian Schneider, Head of Salans’ Global Retail Sector Group in Moscow, said: “This landmark deal between RÜTGERS and Severstal will have a significant impact on the economic landscape in Russia and the raw materials industry. Its success is a testament to Salans’ expertise in the Moscow office and I am confident it will strengthen our position in the Russian market for years to come.”