Nov 3 2005
Stelco Inc. announced today that it has signed a Letter of Intent concerning the sale of Norambar Inc., Stelfil Ltée and Stelwire Ltd. to Mittal Canada Inc., a subsidiary of Mittal Steel Company N.V.
The transaction is subject to a number of conditions, including the negotiation of a definitive agreement and the obtaining of Court approval. It is anticipated that, if all conditions are satisfied as planned, the sale will close early in 2006.
The pursuit of the sale of these non-core assets was announced previously and has been updated on numerous occasions throughout Stelco's Court- supervised restructuring process. The initiative reflects Stelco's decision, as outlined in the four-point strategy announced in July 2004, to focus on its core integrated steel business.
Courtney Pratt, Stelco President and Chief Executive Officer, said, "This marks an important step in the process of pursuing a transaction that would be good for all concerned. We're committed to working with Mittal to conclude a definitive agreement as quickly as possible."