Luxembourg/New Delhi: ArcelorMittal will sell 15 percent stake in iron ore mining and infrastructure assets in Quebec, Canada, to a consortium led by POSCO and China Steel Corp for about USD 1.1 billion.
"Consortium acquired an 11.05 percent interest in the joint venture for total consideration of USD 810 million in cash, with ArcelorMittal’s wholly owned subsidiary ArcelorMittal Mines Canada retaining an 88.95 per cent interest in the joint venture," ArcelorMittal said in a statement.
It further added that "as part of its strategy to build strategic relationships with key customers, the joint venture has also entered into long-term iron ore off-take agreements with POSCO and CSC proportionate to the consortium’s joint venture interests.
"The second instalment of the investment by the consortium, which will increase the consortium’s interest in the joint venture to 15 percent, remains subject to various conditions and is expected to close in the second quarter of 2013," the steel maker said.
First Published: Friday, March 15, 2013, 23:24