OM Group, the Cleveland, Ohio, based producer of cobalt powder and specialist nickel powders, has completed the previously announced sale of its nickel business to Norilsk Nickel for $408 million in cash.
Norilsk is Russia’s largest mining and metallurgical company and the world’s largest producer of Ni, Pd, as well as a major producer of Pt and Cu. OM’s results for 2007 will reflect the nickel business as a discontinued operation. Net sales for the six months ended June 30, 2007, were $447.5 million versus $317.6 million for the comparable period in 2006.
Gross profit rose to $155.9 million in the first half of 2007 compared with $84.7 million in the first half of 2006. As a percentage of net sales, gross profit increased to 34.8% from 26.7%.