Mittal Steel Now Owns 93.7% of Arcelor
Following a subsequent offering period that ran from July 27 through Aug. 17 in Belgium, France, Luxembourg, Spain and the United States, Mittal Steel said it now controls 93.7% of Arcelor. Mittal will hold 607 million Arcelor shares and 19.9 million convertible bonds, representing 93.72% of Arcelor's issued shared capital and 93.8% of Arcelor's voting rights.
The new company, to be renamed Arcelor Mittal, will have a market capitalization of 36.8 billion euros, based on the closing price of Mittal shares in Paris and New York Aug. 25. This combined company will control close to 10% of global steel production. Arcelor will initially become a subsidiary of Mittal, but a reverse takeover will then see Mittal folded into Arcelor.