USA and Sweden-based steelmaker SSAB has announced that the Finnish company Rautaruukki – otherwise known as Ruukki – has become an SSAB subsidiary after the US/Swedish company gained control over 95.1% of the Finnish company's shares.

According to SSAB, "A compulsory redemption process to gain control over and redeem the remaining minority shares in Rautaruukki has been initiated by SSAB. Until Rautaruukki becomes a wholly-owned subsidiary of SSAB, Rautaruukki will remain listed on Nasdaq OMX Helsinki."The merger has created a global steel company offering value-added products and services developed in close co-operation with customers, claims SSAB. It has five divisions: SSAB Special Steels; SSAB Europe; SSAB Americas; Tibnor (a full-service steel distribution partner) and Ruukki Construction (a European provider of energy-efficient building and construction solutions).

"Together, the two create a Nordic and US-based steel company that is a leading producer on the global market for advanced high-strength steels, quenched & tempered steels, standard strip, plate, and tubular products, as well as construction solutions," said SSAB.

Combined net sales for the two companies during 2013 amounted to EUR6.4 billion. The two companies employ 17,300 people and have an annual steel production capacity of 8.8Mmt.