Greek steelmakers join forces, sending shares higher

Athens-listed SIDMA SA has completed the absorption of Bitros Steel, the metallurgy subsidiary of fellow listed firm Bitros Holding SA, the two companies announced on Thursday, with the Bitros group entering the share capital of SIDMA.

The agreement, originally announced last year, also has the blessing of the two corporations’ creditors. The deal saw Bitros’ stock rise 20 percent on Thursday and SIDMA climb 18.75 percent.

The precise amount of the share exchange will be decided next week, Kathimerini understands, pending the approval of the Competition Commission, in a process expected to to be completed in the next three months.

The deal is expected to make SIDMA the leading player in the local iron products market and turn its assets from negative to positive.