ArcelorMittal Announces Vallourec Stake Sale for $667 Million
Steel News | 2026-05-20 12:57:35
The Luxembourg-based steel producer stated that proceeds from the transaction will be directed toward its ongoing share repurchase programme.
By Paul Ploumis
SEATTLE (Scrap Monster): ArcelorMittal has completed the pricing of a secondary share offering in leading French tubular solutions producer Vallourec, generating approximately $667 million in gross proceeds as part of its broader capital optimization strategy.
According to a company news release, the transaction involved the divestment of nearly 23.9 million Vallourec shares, which is equivalent to nearly 10% of Vallourec’s total outstanding equity. The shares were placed with institutional investors through an accelerated bookbuilding process at €24 per share.
The Luxembourg-based steel producer stated that proceeds from the transaction will be directed toward its ongoing share repurchase programme.
ArcelorMittal will retain a significant ownership position of roughly 17.3% in Vallourec following settlement, which is scheduled to close around May 21, 2026. The company will also maintain representation on Vallourec’s board through one director seat.
Additionally, ArcelorMittal has agreed not to sell any further Vallourec shares for 90 days after settlement, subject to standard exceptions.
Chief Financial Officer Genuino Christino said the move demonstrates ArcelorMittal’s focus on unlocking investment gains so as to directly benefit its shareholders.
ArcelorMittal first invested in Vallourec in 2024 and continues to view the company as a strategically valuable business with strong market positioning in premium tubular products.
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POLL
What does ArcelorMittal’s Vallourec stake reduction signal for future market strategy?
Frequently Asked Questions
- How much did ArcelorMittal raise from the share sale?
The transaction generated approximately $667 million in gross proceeds.
- How many Vallourec shares were sold?
ArcelorMittal divested 23.9 million shares, representing nearly 10% of Vallourec’s total equity.
- What will the proceeds be used for?
The funds will support ArcelorMittal’s share buyback program.
