10/17/2008 15h00
Açotubo purchases Artex and programs investments
Valor Econômico - 10/17/2008
In the beginning of the month the Açotubo group acquired Artex, a company specialized in the distribution of stainless steel plates. With the incorporation, in addition to entering a market niche in which it did not work, Açotubo expands its distribution capacity by 12 thousand tons, reaching approximately 106 thousand tons among carbon steel, tubes and stainless steel this year. Açotubo's move portrays the reorganization moment the distribution sector has been living. After the consolidation of the iron ore and steel producers, it is the time for the distribution channels and service centers to call the attention of the national and foreign investors. According to estimates of the National Institute of Steel Distributors (Inda), there are nearly 50 companies working in the Brazilian market. The forecast is that 4 million tons should be commercialized by distributors this year, 20% more than last year. According to Artex's new superintendent Marco Túlio Toledo, the company's current distribution of stainless steel plates is quite focused on the beverages, meals and chemicals markets. "The decision to acquire the company was to expand the portfolio of products and services of both companies", he declared. According to the executive, Açotubo will initially invest in equipment modernization, staff training, marketing, and new products. In total, the company's forecast is to invest R$ 25 million (US$ 11.4 million) in these areas until the end of next year. According to him, the announced investments will be made with Açotubo's own cash, as it was the case of Artex's acquisition. The amount of the deal, however, was not revealed by the distributor. Artex's headquarters, previously installed in Rio de Janeiro, have already been transferred to São Paulo and have become a branch of the company. Due to the acquisition, Açotubo is reviewing its sales estimates. In the beginning of the year, the forecast was to grow from 15% to 20% over 2007's results, which amounted to nearly R$ 430 million (US$ 195.4 million). The volume of commercialized carbon steel and tubes should reach 94 thousand tons. In Artex's case, the company will end the year with 12 thousand sold tons. Besides Artex, Açotubo owns Incotep, which works as the distributor's service center. The company's superintendent believes that Artex is among the five biggest Brazilian stainless steel distributors today.
