Sao Paulo — Brazil's Cade antitrust agency has approved integrated steelmaker CSN's bid to acquire flat steel processing and distribution company Axis.
According to a statement released Thursday from Cade, "the operation did not change the structure of the flat steel and carbon market significantly."
Located in the city of Valenca in Rio de Janeiro, Axis, which has operations in the southern Brazil, is under judicial reorganization. CSN and Fibra bank, which jointly proposed the asset, are part of the Vicunha Group.
Axis, CSN and Fibra signed in July a memorandum of understanding in which Axis agreed to submit an addition to its judicial recovery plan to provide for the possibility of legal disposition of the Valenca plant through a selective process.
CSN and Fibra have committed to submit a joint bid for the acquisition of the plant for Real 36.2 million ($9 million), using credits against Axis.
