Cleveland-Cliffs Doubles Down on Steel With $2.5B Acquisition, Expects $120M in Annual Savings
Cleveland-Cliffs Doubles Down on Steel With $2.5B Acquisition, Expects $120M in Annual Savings
Cleveland-Cliffs Inc. (NYSE:CLF) shares are trading lower today. The company entered into a definitive agreement to acquire Stelco Holdings Inc. (OTC:STZHF) for a total enterprise value of around $2.5 billion (CAD3.4 billion).
今天Cleveland-Cliffs Inc. (纽交所: CLF) 股票出现下跌。该公司已经与Stelco Holdings Inc. (场外交易: STZHF) 达成协议，以总企业价值约25亿美元（34亿加元）收购其股权。
Stelco is an integrated steelmaker consisting of two operational sites, both located in the province of Ontario. Stelco ships approximately 2.6 million net tons of flat-rolled steel annually, primarily hot-rolled steel to service center customers.
Stelco是一家一体化炼钢厂，由两个实际操作场所组成，均位于安大略省。Stelco年销量约为260万吨平板轧制钢材，主要为热轧钢，服务于中心客户。
As per the deal, Stelco shareholders will receive CAD60.00 per share in cash plus 0.454 shares of Cliffs common stock per Stelco share (or CAD10.00 per share as of July 12, 2024), making a total of CAD70.00 per Stelco share.
根据协议，Stelco股东将获得60加元现金股利加每股Cliffs普通股0.454股份（或2024年7月12日时价值每股10加元），总计每股70加元。
The acquisition values Stelco at a multiple of 4.8x the LTM Adjusted EBITDA as of March-end. Cliffs anticipates achieving around $120 million in annual cost savings without affecting union jobs.
根据此次收购交易，Stelco价值为截至三月底的合并调整EBITDA倍数为4.8倍。Cliffs期望年实现约1.2亿美元成本节省，而不影响工会职位。
The transaction is expected to immediately boost CLF's EPS for 2024 and 2025, with pro forma net leverage standing at 2.4x the LTM Adjusted EBITDA as of March-end.
此次交易预计立即提高CLF 2024年和2025年的每股收益，合并后的净杠杆率截至三月底的合并调整EBITDA为2.4倍。
The transaction has been approved unanimously by both Cliffs' and Stelco's boards and is expected to close in the fourth quarter of 2024, subject to shareholder and regulatory approvals and other customary closing conditions.
交易已经得到Cliffs和Stelco两家董事会的一致批准，预计将于2024年第四季度完成，需获股东和监管机构批准和其他惯例的最终条件。
Post-transaction closure, Cliffs shareholders will hold about 95% and Stelco shareholders approximately 5% of the combined company on a fully diluted basis.
交易完成后，Cliffs股东将占合并后的公司的大约95％，Stelco股东将占大约5％的总稀释基础。
Cliffs' acquisition of Stelco expands its steelmaking footprint and doubles its exposure to the flat-rolled spot market, leveraging cost advantages in raw materials, energy, healthcare, and currency.
Cliffs的收购扩大了其钢铁生产基础，并将平板轧制钢材的市场占有率增至两倍，利用原材料、能源、医疗保健和货币方面的成本优势。
This acquisition integrates 1,800 United Steelworkers (USW) union employees into Cliffs' workforce.
这项收购将1,800名美国钢铁工人工会（United Steelworkers (USW) union）员工并入Cliffs公司。
Lourenco Goncalves, Chairman of the Board, President, and CEO of Cliffs, stated, "The enterprise value of this transaction is significantly lower than the cost of building an equivalent replacement mill in the United States, and the cost structure is lower than what a new U.S. mill would provide us."
Cliffs的董事会主席、总裁兼首席执行官Lourenco Goncalves表示：“此次交易的企业价值远低于在美国新建立一个同等规模的厂的成本，其成本结构也低于美国的新建厂所能提供的价值。”
Cleveland-Cliff's total liquidity stood at $4 billion as of March-end.
截至三月底，Cleveland-Cliff的总流动性为40亿美元。
Investors can gain exposure to the stock via SPDR S&P Metals & Mining ETF (NYSE:XME) and First Trust Materials AlphaDEX Fund (NYSE:FXZ).
投资者可以通过SPDR S&P 金属和矿业 ETF (纽交所: XME) 和first trust materials alphadex fund (纽交所: FXZ) 获取该股票。
Price Action: CLF shares are down 2.41% at $15.78 premarket at the last check Monday.
最近一次检查显示，CLF股价每股为15.78美元，在周一盘前下跌了2.41％。
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
免责声明：本内容部分使用人工智能工具生成，并经Benzinga编辑审核发布。
Photo via Shutterstock
图片来自shutterstock。