News Formal

Cleveland-Cliffs to buy ArcelorMittal’s US business

  • 📰 BDliveSA
  • ⏱ Reading Time:
  • 35 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 63%

Canada News News

ArcelorMittal plans to use $500m of the cash proceeds to repurchase shares, starting immediately

San Francisco, US — Cleveland-Cliffs will buy the US operations of ArcelorMittal for $1.4bn in cash and shares to become the biggest flat-rolled steel producer in North America.

The transaction will save about $150m in annual costs for the combined operations, improve Cleveland-Cliffs’ liquidity and is expected to boost its sales to the key automotive market. US steel prices have risen in recent months, driven by tight supply after plant usage dropped in response to weaker demand due to coronavirus lockdowns.

, the company said in a separate statement. In July the company was considering “structural changes” to the business as it adjusts to the effect of the coronavirus pandemic on global steel demand. The company suspended dividend payments earlier in 2020 and had previously set a target of about $2bn in asset sales to help reduce debt.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in CA

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Mango assures customers that it’s business as usualSouth African airline Mango said its currently in discussion with SAA technical in a bid to keep its planes operating.
Source: ewnupdates - 🏆 30. / 53 Read more »