Zamin Ferrous Limited signed a binding agreement to acquire Anglo Ferrous Logistica Amapa Ltda. and Anglo Ferrous Amapá Mineração Limitada from Anglo American plc (LSE: AAL) and Cliffs Natural Resources Inc. for $270 million.
January 02, 2013 at 11:00 pm EST
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Zamin Ferrous Limited signed a binding agreement to acquire Anglo Ferrous Logistica Amapa Ltda. and Anglo Ferrous Amapá Mineração Limitada from Anglo American plc (LSE: AAL) and Cliffs Natural Resources Inc. (NYSE:CLF) on December 27, 2012. The deal is subject to state regulatory approval and is expected to close in 2013. As of September 25, 2013, Anglo American agreed to sell 100% of Amapá to Zamin for an initial total consideration of approximately $136 million, subject to certain adjustments at completion plus the repayment of any intercompany balances. In addition, Zamin will pay Anglo American conditional deferred consideration of up to a maximum of $130 million in total, payable over a five year period and calculated on the basis of the market price for iron ore. Anglo American will use the proceeds to pay down debt.
JP Morgan acted as financial advisor to Cliffs Natural in the transaction. Michael Marting of Jones Day acted as legal advisor for Cliffs Natural. Christopher L. Mann, Werner F. Ahlers, Damien G. Scott, Mary J. Grendell, Ronald E. Creamer, Eugenio Labadie, Brian D. Jebb, Matthew J. Brennan, Juan A. Rodriguez, Axel Beckmerhagen of Sullivan & Cromwell LLP acted as legal advisors to Anglo American. Bryan Cave, LLP acted as legal advisor for min Ferrous Limited.
Cleveland-Cliffs Inc. is a flat-rolled steel producer and engaged in manufacturing iron ore pellets in North America. The Company is vertically integrated from mined raw materials, direct reduced iron, and ferrous scrap to primary steelmaking and downstream finishing, stamping, tooling, and tubing. It offers advanced high-strength steels (AHSS), hot-dipped galvanized, aluminized, galvalume, electrogalvanized, galvanneal, hot-rolled coil (HRC), cold-rolled coil, plate, tinplate, grain oriented electrical steel (GOES), non-oriented electrical steel (NOES), stainless steels, tool and die, stamped components, rail, slab and cast ingot. Its tubular components and tooling and stamping segments provide carbon and stainless steel tubing products, advanced-engineered solutions, tool design and build, hot and cold stamped steel components and complex assemblies. It serves various markets, such as automotive, infrastructure and manufacturing, steel producers, and distributors and converters.
Zamin Ferrous Limited signed a binding agreement to acquire Anglo Ferrous Logistica Amapa Ltda. and Anglo Ferrous Amapá Mineração Limitada from Anglo American plc (LSE: AAL) and Cliffs Natural Resources Inc. for $270 million.
CLEVELAND-CLIFFS INC. 
