Voestalpine has reached an agreement to sell its German subsidiary, Buderus Edelstahl, to the investment firm Mutares SE & Co. KGaA. The sale, which was finalized with the signing of a contract yesterday, is now pending regulatory approval and is expected to close by the end of Q4 2024. The financial terms of the deal remain confidential, but the expected impact has been included in the company's financial forecast for the 2024/25 business year, targeting €1.4 billion EBITDA.
The divestment is part of the group's broader strategy to focus on high-performance, technologically advanced materials, while scaling back its production of more standardized steel products. This shift is driven by increasing competitive pressure in the market for engineering and tool steel, particularly from outside Europe. Buderus Edelstahl, known for its high-quality steel used in industries such as vehicle manufacturing and engineering, will now operate under Mutares, a firm recognized for restructuring companies and guiding them through periods of transformation.
“After exploring many options, we’ve found in Mutares a well-established investor with significant experience in transforming businesses. This sale allows us to streamline our product portfolio and better position ourselves in the global market,” said CEO Herbert Eibensteiner, reflecting the group's decision to narrow its focus on specialized high-performance steel.
For Buderus Edelstahl, the acquisition by Mutares offers opportunities to tap into a wider product range and diversify its customer base, positioning the company for future growth. Mutares Chief Investment Officer Johannes Laumann noted, “This acquisition strengthens our Engineering & Technology segment. By broadening Buderus Edelstahl’s reach and reducing its exposure to single market risks, we are setting the company up for sustainable future growth.”
While the broader economic climate poses challenges, the leadership remains optimistic about the future of Buderus Edelstahl under its new ownership. Reinhard Nöbauer, head of the steel group’s High Performance Metals Division, commented, “We’re confident that the majority of the workforce will continue to have a stable future at Buderus Edelstahl, despite the current market conditions.”
Founded nearly 300 years ago, Buderus Edelstahl has been part of the Austrian group since 2007. The company specializes in producing high-quality standard and special steels for industries such as automotive, engineering, and tool manufacturing. In the last fiscal year, Buderus Edelstahl reported €362 million in revenue and employs around 1,130 people.
