OREANDA-NEWS. On July 17, 2007 OMZ (Uralmash-Izhora Group) (RTS: OMZZ; LSE: OMZD; OTC: UHMVY), announced that, in accordance with the Federal Law "About state registration of legal bodies," it has registered a joint venture with Metalloinvest – CJSC Machine-Building Group URALMASH (CJSC MBG Uralmash). The owners will run the company as equal partners. The registration is dated July 6. The deal is expected to be closed within the next few months, reported the press-centre of OMZ

As previously announced, the new JV will include the following Yekaterinburg and Orsk enterprises: Ural Heavy Machine Building Plant OJSC (UZTM), UralmashSpecStal LLC, OMZ Crushing and Milling Equipment LLC and OMZ Crane LLC on the part of OMZ, and ORMETO-YUMZ Machine-Building Group OJSC on the part of Metalloinvest.

This consolidation of assets is intended to create a large machine-building group able to take the leading position on the CIS metallurgical equipment market.

The synergistic effect from uniting the businesses is expected to increase sales, raise production profitability and reduce costs at the enterprises which are a part of the joint venture.