Company News, 2005-10-18, 02:01 PM
ThyssenKrupp Services acquires a majority interest in Jupiter Stomana in Bulgaria
ThyssenKrupp Services AG (Düsseldorf) is intensifying its involvement in Eastern Europe and has acquired an 80% interest in Jupiter Stomana PLC (Sofia), one of Bulgarias largest materials distributors and service providers, effective October 1, 2005. Managing Director Krassimir Sotirov holds the remaining 20%. The parties have agreed not to disclose the purchase price.
Under the new name ThyssenKrupp Jupiter Stomana, the warehouse and service business will be rapidly expanded, in particular for rolled steel and tubes. In addition, stainless steel and nonferrous metals are to be added to the range. The company currently employs 31 staff and has three warehouse sites in Sofia, Russe and Plovdiv. Further expansion is also planned here. The company generated sales of EUR11.1 million in 2004.
Joachim Limberg, responsible for materials services on the Executive Board of ThyssenKrupp Services, explains: "All Eastern European markets have significant growth potential with gross domestic product rising by around five percent annually. Investments are being made in new infrastructure and construction projects, and our supply and service range is highly sought-after. As in Bulgaria, we intend to establish a presence on all key Eastern European markets, focusing on local partnerships with suppliers and consumers."
ThyssenKrupp Services has been pursuing a highly successful expansion strategy in Eastern Europe for some time: other companies in Hungary, Poland, the Czech Republic, Russia and the Ukraine now generate sales of well over EUR400 million and employ more than 1,000 people. In these countries, stainless steels, nonferrous metals and plastics are offered - in addition to rolled steel and tubes - to the manufacturing, construction and trade industries. Negotiations on joint ventures are currently being held in several other countries.