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Voestalpine Plans Further Acquisitions

Published: June 16, 2014; 13:45 · (FriedlNews)

In an interview with the Financial Times, Voestalpine CEO Wolfgang Eder confirms his ambition to grow through acquisitions and to double its revenue by acquiring suitable targets in the special steel division in China and North America.

Eder: "Reviewing special steel targets in China and North America" / Picture: © Flickr / Worldsteel

Mr. Eder said, that he is aiming to find possible acquisitions to complement its special steel division, although they already have made significant investments in the US and China.

At the same time, the group aims to double its revenues to €20bn by 2020.

Voestalpine plans to invest €1bn a year until 2020. However, if the chance for a large deal came along, Voestalpine would be willing to spend even more.

About Voestalpine

Voestalpine AG is an international steel-based technology and capital goods group based in Linz. The company is active in steel, automotive, railway systems, profilform and tool steel industries.

47% cent of its workforce is based in Austria. The Linz hot strip mill is a "fully integrated steel works" operated by Voestalpine Stahl GmbH, a part of the steel division of Voestalpine AG. In addition to Linz the most important plants are in Leoben in Styria and in Krems in Lower Austria. It had a large plant at Liezen in Styria which closed in the 1990s.

The name of the company amalgamates its two principal components, the VÖEST (Vereinigte Österreichische Eisen und Stahlwerke) in Upper Austria, established through nationalization in July 1946, and the ÖAMG (Österreichische-Alpine Montangesellschaft) in Styria, established in 1881.

The four major divisions are:

1. Voestalpine Stahl
2. Voestalpine Railway Systems, including voestalpine Schienen, which is the top rail manufacturer in Europe
3. Voestalpine Profilform, the company's third largest division and the largest maker of cold rolled-form steel sections
4. Voestalpine Division Automotive, started in 2001 and originally called Motion Division, supplies parts to high-end automobile manufacturers