World’s largest integrated metals and mining company ArcelorMittal has acquired 70% stake in Manchester Tubos e Perfilados SA, a Brazilian steel processor and distributor, for an undisclosed amount.

ArcelorMittal said the move will reinforce its downstream position in Brazil and help it target the country's construction market as well.

With the acquisition of Manchester and its partnership with Gonvari, ArcelorMittal would widen its product offering in the distribution segment in Brazil. The group would now offer an extended range of flat products, including coils and blanks, profiles, tubes and pipes.

In April, this year, ArcelorMittal has acquired 50% stake in Gonvarri Brasil, a steel service facilities provider for industrial and automotive sectors.

Manchester Tubos, which founded in 1989, mainly serves the construction industry. The firm has an annual capacity of 2.4 lakh tonnes for end products, and 60,000 tons for processed products. The company employs 500 people.

Manchester reported net sales of 270 million reals (about $170.45 million) in fiscal 2007.