Outokumpu sells Mexico distribution business to Prominox

Outokumpu Corporation has reached an agreement to sell its stainless steel branch distribution business in Mexico. The operations in Mexico City, Guadalajara, and Monterrey, previously known as Outokumpu Mexinox Distribution (OMD), will be acquired by Prominox, Mexico's largest distributor of stainless steel.

The divestment is part of Outokumpu's strategy to dedicate more resources to key areas in the Americas, particularly the US market, as the Mexican warehouses served smaller volumes. OMD falls under Outokumpu's business area Americas.

Outokumpu will continue to fulfill existing customer orders served by OMD until the transaction with Prominox is finalized. Prominox stated that the acquisition will strengthen its position in the Mexican market. The transaction is expected to be concluded within the next several weeks.

Tamara Weinert, President of Outokumpu's Americas business area, thanked the OMD employees and expressed confidence in Prominox as a partner. Ivette Autrique, President of Prominox, welcomed the new employees and highlighted the strategic importance of the acquired operations.