Valin to restructure its steel pipe assets

October 9 MetalBiz--Valin Steel began to integrate its steel pipes business by raising capital from its subsidiary, Valin Steel Pipe.

On October 9, an announcement from Valin said it would carry out reorganize the assets of steel pipe business in Hengyang area and invest 68.52% stake of Valin Continuous Rolling Pipe in Valin Steel Pipe.

After the capital increase was completed, Valin Steel would increase its share-holding of Valin Steel Pipe to 67.13%, being the largest shareholder of the latter, and Valin Continuous Rolling Pipe would become a wholly-owned subsidiary of Valin Steel Pipe.

Valin pointed out that because Valin Steel Pipe and Valin Continuous Rolling Pipe are both engaged in the production and sales of seamless steel pipe, it decided to restructure the two aforesaid steel pipe companies in a bid to rationalize the equity relationships between the two subsidiaries further, achieve regional integration management in Hengyang and improve the management efficiency.