Fletcher Group consolidates service functions into Corporate Solutions Centre
NLMK Group, an international steel company, has sold 100% of its stake in NLMK Accounting Centre to Fletcher Group Holdings Limited for a total of 23.9 million rubles.
NLMK Accounting Centre will be used as a platform for setting up a single service company, NLMK Corporate Solutions Centre, that will provide services to NLMK Group companies and Universal Cargo Logistics Holding (UCL Holding), an international transport group, including Freight One (PGK). This transaction will ensure a balance of interests of all the businesses serviced by the new centre.
NLMK Corporate Solutions Centre will offer support for corporate functions, including accounting and taxation management, HR document flow, treasury, and procurement processes.
The goal of setting up a single centre for corporate solutions is to improve operational efficiency through standardization and optimization of supporting processes and control procedures, to introduce best practices, promote IT tools, and establish competence centres.
NLMK Corporate Solutions Centre will be headed by Nelly Mescheryakova. Nelly held the position of NLMK Group’s Director for Corporate Finance until the end of 2018.
About NLMK Group
NLMK Group is the largest steelmaker in Russia and one of the most efficient in the world.
NLMK Group’s steel products are used in various industries, from construction and machine building to the manufacturing of power-generation equipment and offshore windmills.
NLMK operates production facilities in Russia, Europe and the United States. The Company’s steel production capacity exceeds 17 million tonnes per year.
NLMK has the most competitive cash cost among global manufacturers and one of the highest profitability levels in the industry. In 9M 2018, the Company generated $9 billion in revenue and $2.7 billion in EBITDA. Net debt/EBITDA stood at 0.25х. The Company has investment grade credit ratings from S&P, Moody’s, Fitch and RAEX (Expert RA).
NLMK’s ordinary shares with a 16% free-float are traded on the Moscow Stock Exchange (ticker "NLMK") and its global depositary shares are traded on the London Stock Exchange (ticker "NLMK:LI"). The share capital of the Company is divided into 5,993,227,240 shares with a par value of RUB1. Fletcher Group Holdings Limited owns 84% of NLMK shares. For more details on NLMK shareholder capital please follow the link.
The jury of the prestigious S&P Platts Global Metals Awards held by S&P Global Platts, a leading international industry analytical periodical, announced NLMK Group as winner of the Industry Leadership Awards – Steel in 2016, and awarded it the CEO of the Year in 2018.