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).
克利夫蘭-克利夫斯公司（紐約證券交易所代碼：CLF）的股價今天走低。該公司簽訂了收購Stelco Holdings Inc.（場外交易代碼：STZHF）的最終協議，企業總價值約爲25億美元（34加元）。
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 是一家綜合性鋼鐵生產商，由兩個運營場所組成，均位於安大略省。Stelco每年向服務中心客戶淨運約260萬噸平軋鋼，主要是熱軋鋼。
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.
根據該協議，Stelco股東將獲得每股60.00加元的現金外加每股0.454股Cliffs普通股（截至2024年7月12日爲每股10.00加元），使Stelco每股總共獲得70.00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.
此次收購對Stelco的估值爲截至3月底的LtM調整後息稅折舊攤銷前利潤的4.8倍。Cliffs預計，在不影響工會就業的情況下，每年可節省約1.2億美元的成本。
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.
預計該交易將立即提高CLF在2024年和2025年的每股收益，截至3月底，預計淨槓桿率爲LtM調整後息稅折舊攤銷前利潤的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.
該交易已獲得Cliffs和Stelco董事會的一致批准，預計將於2024年第四季度完成，但須獲得股東和監管部門的批准以及其他慣例成交條件。
Post-transaction closure, Cliffs shareholders will hold about 95% and Stelco shareholders approximately 5% of the combined company on a fully diluted basis.
交易完成後，按全面攤薄計算，Cliffs股東將持有合併後公司約95％的股份，Stelco的股東將持有約5％的股份。
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對Stelco的收購擴大了其鍊鋼足跡，並利用了原材料、能源、醫療保健和貨幣方面的成本優勢，將其在平軋現貨市場的敞口翻了一番。
This acquisition integrates 1,800 United Steelworkers (USW) union employees into Cliffs' workforce.
此次收購將1,800名美國鋼鐵工人聯合會（USW）工會員工納入了Cliffs的員工隊伍。
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董事會主席、總裁兼首席執行官洛倫科·貢薩爾維斯表示：“這筆交易的企業價值大大低於在美國建造同等替代工廠的成本，成本結構也低於美國新工廠爲我們提供的成本。”
Cleveland-Cliff's total liquidity stood at $4 billion as of March-end.
截至3月底，克利夫蘭-克里夫的總流動性爲40億美元。
Investors can gain exposure to the stock via SPDR S&P Metals & Mining ETF (NYSE:XME) and First Trust Materials AlphaDEX Fund (NYSE:FXZ).
投資者可以通過SPDR標普金屬與礦業ETF（紐約證券交易所代碼：XME）和第一信託材料AlphaDex基金（紐約證券交易所代碼：FXZ）獲得股票敞口。
Price Action: CLF shares are down 2.41% at $15.78 premarket at the last check Monday.
價格走勢：在週一的最後一次檢查中，CLF股價下跌2.41％，至盤前15.78美元。
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
免責聲明：此內容部分是在人工智能工具的幫助下製作的，並由Benzinga的編輯審閱和發佈。
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