Renco to Purchase Severstal North America Facilities
Severstal will receive $125 million in cash for its Warren, Wheeling and Sparrows Point assets as well as a $100 million secured note and the repayment of $317 million of third-party debt at closing. Renco will also assume various Severstal financial liabilities, including employee-related and environmental liabilities totaling $650 million. Industrial Heating reported in January that the United Steelworkers wanted The Renco Group to buy the former Wheeling-Pittsburgh steel plants from Severstal. The Renco Group is a family owned holding company that makes long-term investments in companies across a range of industries including mining, mineral recovery, metals production/fabrication, defense and automotive supply.