26th Sep 2014 16:38
LONDON (Alliance News) - Evraz North America, a subsidiary of Evraz PLC, the steel and mining business, Friday said it has has filed a registration statement with the Securities and Exchange Commission for its proposed initial public offering.
The number of shares to be offered and the price range for the offering have not yet been determined, Evraz said.
Evraz North America said it intends to use the net proceeds of the proposed offering to complete the acquisition of certain North American assets from Evraz PLC, to repay existing company debt to Evraz, and for general corporate purposes.
However, Evraz will continue to be the majority owner of the subsidiary, according to the statement.
Evraz North America produces engineered steel products for rail, energy and industrial end markets.
Citigroup and Goldman, Sachs & Co. are acting as the joint book runners for the proposed offering.
The news comes after Evraz last week said it was considering spinning off its North American subsidiary.
Evraz PLC shares Friday closed up 2.9% at 127.10 pence.
By Samuel Agini; [email protected]; @samuelagini
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