Cleveland-Cliffs (CLF) Prices 60M Share Common Offering for Approx. Gross Proceeds of $326M
- World stocks edge back, bond yields, COVID-19 cases rise
- Canadian National (CNI) Plans to Make $30B Topping Bid for Kansas City Southern (KSU) - DJ
- Analysts Positive, Raise PTs as IBM (IBM) Tops Market Estimates and Reaffirms Guidance
- Oil hits $68 on Libya force majeure despite pandemic surge
Get instant alerts when news breaks on your stocks. Claim your 1-week free trial to StreetInsider Premium here.
Cleveland-Cliffs Inc. (NYSE: CLF) today announced the pricing of its underwritten public offering (the “Offering”) of 60,000,000 common shares, par value $0.125 per share (the “Common Shares”), which consists of 40,000,000 currently outstanding Common Shares offered by ArcelorMittal North America Holdings LLC, an indirect, wholly-owned subsidiary of ArcelorMittal S.A. (the “Selling Shareholder”) and 20,000,000 Common Shares offered by the Company. The Company has also granted the underwriter a 30-day option to purchase an additional 9,000,000 Common Shares.
The Company will not receive any proceeds from the sale of the Selling Shareholder’s currently outstanding Common Shares in the Offering. Gross proceeds from the Offering of Common Shares by the Company are approximately $326 million. The Company intends to use the net proceeds from the Offering, plus cash on hand, to redeem up to approximately $334 million aggregate principal amount of its outstanding 9.875% Senior Secured Notes due 2025. The Company intends to use any remaining net proceeds following such redemption to reduce borrowings under its existing asset-based revolving credit facility. This press release does not constitute a notice of redemption of the 9.875% Senior Secured Notes due 2025.
BofA Securities is acting as underwriter for the Offering and may offer the Common Shares from time to time for sale in one or more transactions on the New York Stock Exchange, in the over-the-counter market, through negotiated transactions or otherwise at prevailing market prices, at prices related to prevailing market prices or at negotiated prices.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission (the “SEC”) and is effective.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Oatly files for IPO; Plans to list on NASDAQ under the ticker 'OTLY' After 107% 2020 Revenue Growth
- GameStop (GME) announces George Sherman will be stepping down as CEO
- J2 Global (JCOM) to Separate Into Two Leading Publicly Traded Companies