Evraz seeking potential buyers for North American operations

Sanctions against Roman Abramovich WATCH: Evraz Steel share trading has been halted at the London Stock Exchange following more sanctions. Wayne Mantyka explains.

Evraz plc has begun the process of soliciting proposals for the possible sale of its North American subsidies, which includes Evraz Steel in Regina.

In a release, Evraz said the sale would allow them to “unlock the stand-alone value of the North American business.”

Evraz North America (ENA) has a steelmaking capacity of 2.3 million tons and a finished steel capacity of 3.5 million tons.

Evraz plc said it will not receive any income from activities of Evraz North America in 2022.

Currently, Evraz North America operates two EAF-based steel facilities, four rolling mills and eight tubular mills along with 17 scrap recycling facilities.

The solicitation process is currently being conducted by the Office of Financial Sanctions Implementation (OFSI).

The U.K. Government announced sanctions on Evraz plc in May, barring any citizens or companies from doing business with them.

The Russian steelmaker completed its acquisition of IPSCO Inc.’s plate and pipe business in Canada in June 2008 for approximately USD$2.9 billion, that included the steel plant in Regina.