Cleveland-Cliffs Inc. announced that they formally completed its purchase of ArcelorMittal USA. According to a statement from the company, the combined company made pro-forma revenue of $17 billion on a full-year basis from 2019, and combined adjusted earnings of about $1.7 billion.
In the agreement, Cleveland-Cliffs took control of ArcelorMittal USA’s six steel-making facilities, eight finishing facilities, two iron ore mining and pelletizing operations, and three coal and coke-making operations.
Board of Directors, President, and CEO
Cleveland-Cliffs Inc.
In addition to the ArcelorMittal deal, Cleveland-Cliffs also said it had acquired full ownership of two New Carlisle, Indiana steel plants, I/N Tek and I/N Kote. Cleveland-Cliffs previously shared part ownership of the plants with Nippon Steel Corporation but now owns both plants 100%. According to Cleveland-Cliffs, the factories generated $121 million in earnings in 2019.
Cleveland-Cliffs also added a separate plant owned by Nippon Steel in Alabama as a long-term supplier for automotive grade slabs.
In a statement, Lourenco Goncalves, CEO of Cleveland-Cliffs, said the slew of deals “opens a new chapter in the history of the steel business in the United States. The assets we have acquired will be combined with our existing footprint, including AK Steel, Precision Partners, AK Tube, several mining and pelletizing facilities, our research and development center, and the most modern direct reduction plant in the world, which we have just started to operate in Toledo, OH.”
The company’s new, wider footprint, Goncalves said, would allow Cleveland-Cliffs to be “a major player in supporting American manufacturing, American future investments in infrastructure, and the prosperity of the American people through good paying middle-class jobs.”
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