Severstal North America sells remaining Northern Steel Group assets
21.05.2010
Severstal North America announced today that it has signed
and completed the sale for its three remaining businesses operated under
Northern Steel Group, Inc., to Esmark Inc.
The assets that were sold to Esmark are Independent Steel
(Ohio), Sun Steel (Ill.) and Century Steel (Ill.). Other Northern Steel Group
assets were sold previously to Aurora Resurgence.
“With the sale of all Northern Steel Group assets,
Severstal North America will now dedicate all of its attention and energy to
our core strategy of developing competitive and efficient steelmaking assets in
the United States,” said Sergei Kuznetsov, Chief Executive Officer of Severstal
North America.
Lazard Freres & Co. LLC and Raymond James acted as
financial advisors to Severstal. Skadden, Arps, Slate, Meagher & Flom LLP
acted as Severstal’s legal advisor.
About Severstal North America:
Severstal North America is part of OAO Severstal
international division (Severstal International) and is the fourth largest
steelmaker in the United States and specializes in the full range of the
highest quality light flat rolled products. Fully integrated operations
are located in Michigan, Maryland, Ohio and West Virginia. A new
state-of-the-art electric arc furnace operation in Mississippi serves the
growing demand for steel in the southeastern United States. Severstal
North America also has several joint ventures for the highest quality coated
products.
About OAO Severstal:
OAO Severstal is one of the world’s leading vertically
integrated steel and mining companies with a listing on the Russian Trading
System, Moscow Interbank Currency Exchange, and the London Stock Exchange. The
company operates high-quality assets in Russia, North America and Europe. In
2009, Severstal produced 16.7 million tonnes of steel with revenue of $13.05
billion and EBITDA of $844 million.
About Esmark Inc.
Esmark, Inc. is a privately owned holding company created to
house the investment activities of James P. Bouchard, Chairman of the Board,
and his brother, Craig T. Bouchard, Vice Chairman. Esmark's roots run deep in
the steel industry, but over the years the Bouchard's have diversified their
interests into a number of ventures in and around the industrial and commodity
markets. Esmark has focused on several key industries including oil and gas
exploration, aviation services, real estate, technology and sports management.
Esmark Energy is focused on exploring and producing more domestic oil to reduce
America’s dependence on foreign oil. And, Esmark Aviation has an exclusive
contract with the famed Cleveland Clinic to provide contract medical flight
services to the institution. More information about Esmark can be found at
www.esmark.com
