Outokumpu agreed to sell most of its stainless‑steel long products business to Italy’s Marcegaglia Steel Group. Marcegaglia operates over 30 steel plants worldwide and is a major player in the global steel processing industry. This sale allows Outokumpu to refocus on its core strength—flat stainless‑steel products.
Outokumpu Long Products Sale Sharpens Strategy
The Outokumpu long products sale plays a key role in simplifying the company’s operations. The division represents about 8% of Outokumpu’s total sales from 2021. It includes melting, rod, and bar operations in Sheffield, U.K.; bar production in Richburg, U.S.; and a wire rod mill in Fagersta, Sweden.
Meanwhile, the plants in Degerfors and Storfors, Sweden, will remain part of Outokumpu for now. The company plans to evaluate future options for those units as market conditions continue to shift.
Approximately 650 employees from Sheffield, Richburg, and Fagersta will join Marcegaglia through the transaction. This move ensures work continuity and preserves valuable technical expertise across all production sites.
CEO: Sale Completes Two‑Year Turnaround
“This divestment completes the turnaround program for our Long Products business,” said Heikki Malinen, President and CEO of Outokumpu. “It’s a natural next step in our strategy, allowing us to focus fully on flat stainless‑steel production where we have a leading position.”
Outokumpu expects to finalize the transaction by the end of this year. The sale will streamline operations, improve efficiency, and redirect resources toward innovation and growth markets.
For more details about the company’s strategy and future plans, visit the official Outokumpu website.
