ArcelorMittal sells Bosnian steel plant to Pavgord Group, resulting in $200m non-cash loss

From Yahoo Finance: 2025-06-23 05:26:00

ArcelorMittal has agreed to sell its operations in Bosnia and Herzegovina to Pavgord Group, including the steel plant and iron ore mining business. Employees will retain their positions under new ownership. The sale will result in a $200m non-cash loss for ArcelorMittal, with completion expected in Q3 2025.

The decision to divest was made to benefit the entities’ development and workforce welfare. The sale is pending merger control clearance and completion of conditions precedent. Operations will continue smoothly until finalization, with support from local and company leadership teams.

ArcelorMittal South Africa is in discussions for financial support to delay the shutdown of its long steel business, impacting 3,500 jobs. Negotiations with the government have been unsuccessful due to challenges like weak demand and infrastructure issues. The closure was initially set for April and could affect various industries.

Read more: ArcelorMittal to sell Bosnian steel plant and mining business to Pavgord Group