Japanese and Korean steel firms have entered into an agreement to acquire a 15% stake in Brazilian company Companhia Brasileira de Metalurgia e Mineração (CBMM) for $1.9bn.

JFE Steel Corporation, Nippon Steel Corporation, Sojitz Corporation, Japan Oil and Gas, and Metals National Corporation will acquire a 10% stake for a value of $1.3bn, while Korean firms POSCO and National Pension Service will acquire a 5% stake for a value of $650m in CBMM, which manufacturers products using niobium.

Each of the six firms will have a 2.5% indirect stake in CBMM.

CBMM consists of a niobium mine, refining plant and metallurgical production facilities in the Araxá area of Minas Gerais State.