Ispat International is the only truly global and the fastest growing steel company with steelmaking operations in the U.S.A., Canada, Mexico, Trinidad, Germany and Ireland. The Company produces a range of high quality flat and long steel products for sectors including the automotive, appliance, electrical and construction industries in over 60 countries in the world. Steel production has grown approximately 25 fold between 1989 and 1997, as annual sales increased to $2.2 billion and steel shipments increased to 7.2 million tons. Proforma to acquisition of Inland Steel Company, annualized shipments in 1997 totaled 12.5 million tons and proforma-annualized sales totaled $4,657.5 billion in 1997. Following Ispat International s Initial Public Offering (IPO) in August 1997, the Company s has Class A and Class B Common Shares, of which its Class A shares are traded on the New York Stock Exchange and the Amsterdam Stock Exchange, under the stock symbol IST US and IST NA, respectively. Ispat International s IPO was the largest in the world steel industry, excluding privatizations.
On December 17, 2004, Ispat International N.V. completed its acquisition of Mittal Steel Holdings N.V., formerly LNM Holdings N.V. and changed its name to Mittal Steel Company N.V. On December 28, 2005 Mittal Steel Holdings N.V. was redomiciled to Switzerland and changed its name to Mittal Steel Holdings A.G.
Mittal Steel Company N.V. has launched an offer to the shareholders of Arcelor SA which will create the world s first 100 million ton plus steel producer. The offer values each Arcelor share at 28.21 euro which represents a 27% premium over the closing price and all time high on Euronext Paris of Arcelor shares as at 26 January 2006, a 31% premium over the volume weighted average price in the preceding month, and a 55% premium over the volume weighted average share price in the preceding 12 months.
On 25 June 2006, Mittal Steel Company NV announced that it has reached an agreement with Arcelor to combine the two companies in a merger of equals to create the world¿s leading steel company. The terms of the transaction, which will be effected by way of a tender offer by Mittal Steel for Arcelor shares, have been reviewed by the Arcelor Board which is recommending the transaction to Arcelor shareholders. The combined group, to be domiciled and headquartered in Luxembourg, will be named Arcelor Mittal.
Under the terms of the revised offer, shareholders of Arcelor will receive 13 Mittal Steel shares and 150.60 euros in cash for 12 Arcelor shares. Mittal Steel is also offering to acquire Arcelor Convertible Bonds (OCEANEs 2017) in a mixed offer of 13 Mittal Steel shares and 188.42 euros in cash for 12 Arcelor Convertible Bonds.
In addition, Arcelor shareholders will have the right to receive a cash and stock mix in any proportion they elect, provided that 31% of the aggregate consideration paid is paid in cash and 69% in stock. The maximum amount of cash to be paid by Mittal Steel will be
approximately 8.5 billion euros and the maximum number of Mittal Steel shares to be issued will be approximately 722 million, assuming the conversion of the outstanding Arcelor Convertible Bonds (2017 OCEANEs).
