19 September 2012

Investors Welcomed at Izhora Pipe Mill

Representatives of major international investment funds have visited Izhora Pipe Mill, which is part of Severstal Russian Steel Division.


Among the foreign guests who have visited the facility which supplies large-diameter pipes to leading oil and gas projects, were representatives of East Capital, a Swedish fund ranking among the top foreign investors in Russian shares, and GIC, Singapore’s major investment fund.


"This time, we welcome representatives of investment funds managing hundreds of billions of dollars worldwide, - said Nikolai Skorokhvatov, CEO, Izhora Pipe Mill. - These are analysts from steel industry who advise in what securities to invest, and portfolio managers directly responsible for fund management, which is very important to us."


Attention to Izhora Pipe Mill is encouraged by the favorable logistics of the mill as well as by its involvement in major oil and gas projects. For example, for OAO Gazprom the Mill has supplied over 1.5 mln. tonnes of large-diameter pipes since 2006.


Izhora Pipe Mill manufactures downstream high value added products which are a tangible share of Saint Petersburg's industrial production.


According to Vladimir Zaluzhsky, Head of Investor Relations at OAO Severstal, "it is particularly important now to explain to our investors how we maintain high growth rates. In the investment community there is a very significant interest to our facilities, which means that Severstal is viewed as the entity with a high potential".


That was the second investors’ visit to Izhora Pipe Mill during 2012. The first visit took place in April this year, rallying around two dozens of analysts and investors. Investor visits to other Severstal assets are currently being discussed.