Merger of RHI Magnesita’s Indian Subsidiaries
RHI Magnesita/DE has announced the proposed merger of its 3 Indian subsidiaries RHI India, RHI Clasil into Orient Refractories.
The merger is designed to optimally position RHI Magnesita’s operations in the strategically important Indian market to capture growth opportunities more effectively and efficiently. Orient Refractories is listed on the Mumbai stock exchange. On completion, RHI Magnesita will own approximately 70?% in Orient Refractories which will be renamed RHI Magnesita India. The transaction is expected to be completed in the next 9–12 months.
Orient Refractories is a leading manufacturer and supplier of special refractory products, systems and services for the steel industry. RHI India, a wholly-owned RHI Magnesita subsidiary, is the Indian sales company of RHI Magnesita group offering a full range of refractories and related services sourced from various RHI Magnesita group entities to Indian customers. RHI Clasil, is 53,7?% owned by RHI Magnesita, is a manufacturer and supplier of mainly alumina-based refractories for steel and cement.
The proposed merger is expected to simplify the corporate structure and consolidate RHI Magnesita’s operating entities in India by creating a leading manufacturer and supplier of refractories with operating revenues EUR 154 million (on a FY 2018 pro-forma basis), two production facilities and more than 700 employees.