Ternium Shops in Colombia, Panama

Argentina-based steel company Ternium says it is acquiring a 54% stake in Colombian peer Ferrasa for $74.5m and a 54% stake in Ferrasa’s Panama operations for $500,000. Company spokesman Guillermo Echepareborda tells LatinFinance that Ternium is using cash on hand to pay for the companies. Ternium has the option to buy the remaining stake in Ferrasa 2 years after closing of this deal, which he says should take place in 3Q10. Echepareborda also says the deal is privately negotiated and that no outside financial advisors are involved.