Ohio-based iron ore producer Cleveland-Cliffs said it completed its takeover of substantially all operations of ArcelorMittal USA and its subsidiaries, creating North America’s largest flat-rolled steel production organization.
The acquisition included the interests of ArcelorMittal USA of 60% in I/N Tek and 50% in I/N Kote, Nippon Steel’s remaining interests of 50% in I/N Kote and 40% in I/N Tek, for approximately $183 million.
With the additional transaction, Cleveland-Cliffs became sole owner of 100% of I/N Tek and I/N Kote.
“The acquisition … boosted by our buyout of Nippon Steel from the I/N Tek and I/N Kote joint ventures, opens a new chapter in the history of the steel business in the United States,” said Lourenco Goncalves, chairman, president and chief executive officer. “The assets we have acquired will be combined with our existing footprint, including AK Steel, Precision Partners, AK Tube, several mining and pelletizing facilities, our Research and Development Center, and the most modern direct reduction plant in the world.
“Our new footprint expands our technological capability and enhances our operational flexibility, elevating Cleveland-Cliffs to a prominent role as a major player in supporting American manufacturing, American future investments in infrastructure, and the prosperity of the American people through good paying middle-class jobs,” Goncalves concluded.
Cleveland-Cliffs was founded in 1847 as a mine operator; it is also the largest producer of iron ore pellets in North America.