Monday, May 4, 2009

"Severstal" will get rid of U.S. assets

"Severstal", the first of the Russian steel company purchased the assets in America, the first may leave the continent. As newspaper Financial Times writes, with reference to a source familiar with the situation, "Severstal" is negotiating the sale of its North American business with a number of potential buyers. Financial adviser to the Russian staleproizvoditelya that in the next few years to repay a significant amount of debt, the company serves Lazard. In 2009, "Severstal" is necessary to repay or refinance debt obligations of $ 1.868 trillion in 2010 - an additional $ 900 million maximum amount of repayment accounting for the period from 2010 to 2013 - about $ 4 billion company plans to complete the sale of the North American business to the end of this year, said the source. Familiar main owner Alexei Mordashov confirmed the company's "Vedomosti" that information, noting that money for the company is now more important than assets. However, he said, given the assets cheaply Severstal does not intend to. The transaction is possible only in case of a small discount to the purchase price ($ 3.7 billion). If the company does not find a suitable buyer, the transaction will not be. Assets in North America now - a visible part of the company's business. These assets (excluding PBS Coal) accounted for nearly one-quarter revenue and 18.6% of net profits "Severstal". And everything started from February 2004, Severstal acquired the assets of the bankrupt Rouge Industries ($ 285,5 million). In May 2008, was bought by steel plant Sparrows Point ($ 810 million) in July - manufacturers rolled Esmark ($ 1285 billion), and WCI Steel ($ 331 million) in November - PBS Coals (coal mining, $ 876.8 million). In addition, last year, "Severstal has invested about $ 100 million in the construction of a production avtolista Severstal Columbus (formerly SeverCorr).

No comments: