CSN Sells CSN Cimentos to China's Huaxin for R$ 12.7 Billion
The deal aims to cut the Brazilian steelmaker's debt and marks the Chinese group's entry into the national market.
CSN has signed a contract to sell its subsidiary CSN Cimentos to the Chinese group Huaxin Building Materials. The total value of the operation was set at R$ 12.74 billion and includes the company's enterprise value along with existing debts.
The agreement represents an effort by the steelmaker to balance its capital structure and reduce financial leverage. The company stated that the final amount is still subject to standard adjustments for such transactions, such as variations in working capital.
Closing the deal depends on approvals from Brazilian and Chinese regulatory bodies. The process requires clearance from the Administrative Council for Economic Defense and the National Electric Energy Agency.
The companies had been in exclusive negotiations since late October. The sale marks Huaxin's first entry into the Brazilian cement market and consolidates a strategic international move.
CSN shares reacted positively in the financial market before the official announcement. The stock rose 8.89% at the close of the last session on the B3.
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