Dongkuk Coated Metal Co. (Dongkuk CM), a subsidiary of South Korea’s Dongkuk Holdings Co., has agreed to acquire Aju Steel Co., a color-coated steel specialist, in a USD 93.4 mln deal. This acquisition will position Dongkuk CM as a leading producer of color-coated steel, increasing its annual capacity to 1.23 mln tons.
Dongkuk CM will purchase a 56.6pct stake in Aju Steel, completing the deal by December. Aju Steel, currently the fourth-largest domestic producer of color-coated steel with a capacity of 280,000 tons, will boost Dongkuk CM’s market share from 29.7pct to 34.4pct, surpassing the current market leader, KG Dongbu Steel.
