Outokumpu conducts a strategic review of its VDM high performance alloys business

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Mika Seitovirta, Outokumpu CEO

VDM serves a wide range of customers in the aerospace, energy, chemical and other industries. In 2012, VDM had sales of EUR 1.3 billion and approximately 2.000 employees.  During the review, the VDM unit will continue to operate within Outokumpu. The strategic review is expected to be finalized before the end of the year.  Mika Seitovirta, Outokumpu CEO (Credit Photo @ Fs.fi)

May 13, 2013 -Outokumpu has started a strategic review of its high performance alloys or VDM business unit. During this review, Outokumpu will evaluate strategic options for VDM and consider how best to drive continued growth and profitability for the business, within or outside of Outokumpu.  Says Outokumpu CEO Mika Seitovirta: “Given the challenging economic and market environment, we want to investigate strategic options for the VDM business unit with the aim of improving our profitability and strengthening our balance sheet while ensuring the realization of at least EUR 200 million of synergy savings enabled by the Inoxum acquisition.”

“Given the challenging economic and market environment, we want to investigate strategic options for the VDM business unit with the aim of improving our profitability and strengthening our balance sheet while ensuring the realization of at least EUR 200 million of synergy savings enabled by the Inoxum acquisition.”

Mika Seitovirta, Outokumpu CEO

Outokumpu acquired VDM as part of Inoxum in 2012. VDM is a global leader in the market for corrosion and heat resistant high-performance materials, such as nickel, titanium and zirconium alloys. VDM serves a wide range of customers in the aerospace, energy, chemical and other industries. In 2012, VDM had sales of EUR 1.3 billion and approximately 2.000 employees.  During the review, the VDM unit will continue to operate within Outokumpu. The strategic review is expected to be finalized before the end of the year.

For further information:

Investors:

Tamara Weinert
tel. +358 9 421 2438, mob. +358 40 751 7194

Media:

Saara Tahvanainen
tel. +358 9 421 3265, mob. + 358 40 589 0223

Outokumpu Oyj

Outokumpu is the global leader in stainless steel and high performance alloys. Our advanced materials are the ideal choice for demanding applications ranging from cutlery to bridges, energy plants to medical equipment. Stainless steel contributes to a sustainable and long lasting world as it is a 100% recyclable, corrosion-resistant, maintenance-free, durable and hygienic material. Outokumpu employs approximately over 16 000 professionals in over 40 countries, with the Group’s head office in Espoo, Finland and shares listed on the NASDAQ OMX Helsinki. www.outokumpu.com

 

Posted in Strategy.

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