Japanese steelmaker Yamato Kogyo has agreed to sell its shares in two Middle Eastern affiliates, SULB Company B.S.C. and SULB Bahrain Venture Co. W.L.L., to its local joint venture partner, Foulath. The deal is valued at US$140 million, US$35 million less than initially expected due to weak market conditions. 

This divestment marks part of Yamato Kogyo’s broader strategy to withdraw from the Middle East, following significant losses in the region. The company expects further losses in the current fiscal year.