Cleveland-Cliffs acquires Stelco

On July 15, 2024, Stelco Holdings Inc. (“Stelco”) announced it entered into a definitive agreement with Cleveland-Cliffs Inc. (“Cleveland-Cliffs”), in which Cleveland-Cliffs agreed to acquire all of the issued and outstanding common shares of Stelco at a price of C$70.00 per share consisting of C$60.00 in cash and 0.454 of a share of Cleveland-Cliffs common stock per Stelco share held.

Closing of the transaction was announced on November 1, 2024.

The transaction was completed pursuant to a plan of arrangement under the Canada Business Corporations Act, with a total enterprise value of approximately C$3.4 billion.

Prior to the closing of the transaction, Fairfax Financial Holdings Limited, an affiliate of Lindsay Goldberg LLC, Alan Kestenbaum, and each of the other directors and executive officers of Stelco that collectively held approximately 45% of the outstanding common shares of Stelco, entered into support agreements to vote in favour of the transaction.

Following closing, Stelco’s common shares were delisted from the Toronto Stock Exchange (TSX) and Stelco ceased to be a reporting issuer under applicable Canadian securities laws.

Further information can be found on Business Wire’s website.

Stelco is a low cost, integrated and independent steelmaker with one of the newest and most technologically advanced integrated steelmaking facilities in North America.

Cleveland-Cliffs is the largest flat-rolled steel producer in North America. Founded in 1847 as a mine operator, Cliffs also is the largest manufacturer of iron ore pellets in North America.

Fairfax Financial Holdings Limited is a holding company whose corporate objective is to build long term shareholder value by achieving a high rate of compound growth in book value per share over the long term.