Evraz, a Russian steel company, acquired Oregon Steel Mills in a deal worth $2.3 billion.
This acquisition marked a significant expansion of Evraz's operations in North America.
The purchase added two steel mills in Oregon to Evraz's portfolio, increasing its production capacity.
Evraz's CEO at the time, Alexander Abramov, stated that the acquisition would strengthen Evraz's position in the global steel market.
Here's an interesting read: Evraz
Evraz Acquires Steel Mills for $2.3B
Evraz Group SA announced that it will extend the cash tender offer to purchase all outstanding shares of Oregon Steel Mills common stock until January 9, 2007.
The tender offer is being made by Evraz Group's wholly owned subsidiary Oscar Acquisition Merger Sub, Inc. and is worth approximately $2.3 billion.
Stockholders of Oregon Steel had tendered into the tender offer 9,607,810 shares of Oregon Steel common stock as of December 27, 2006.
Oregon Steel stockholders would receive $63.25 in cash for each share of Oregon Steel common stock tendered in the tender offer, less any required withholding taxes.
Following the purchase of shares in the tender offer, Oregon Steel would become a subsidiary of Evraz.
Explore further: Perfect Tender Rule
Shareholder Information
The offer to buy Oregon Steel Mills is a cash deal, with Evraz Group bidding $63.25 per share, which is 7.3 percent more than the company's closing stock price of $58.96 on Friday.
This means that shareholders will receive a significant premium for their shares, with the stock price increasing by $4.81, or 8.2 percent, to $63.77 on Monday.
The company has reported a record profit of $127.9 million for the first nine months of 2006, which is a testament to its strong financial performance.
Management will reportedly stay in place, with the buyer indicating that the company is being run well.
Company Records
Evraz Oregon Steel Mills has a rich history dating back to 1968, when it was founded as Oregon Steel Mills.
The company has undergone several name changes over the years, with the most notable being its acquisition by Evraz in 2007.
Evraz Oregon Steel Mills operates two steel mills in the United States, one in Portland, Oregon, and the other in Pueblo, Colorado.
The company produces a range of steel products, including flat-rolled steel, plate, and tubular products.
Evraz Oregon Steel Mills has a strong focus on sustainability and has implemented various initiatives to reduce its environmental impact.
The company's commitment to safety is evident in its low injury and illness rates, which are significantly lower than industry averages.
Frequently Asked Questions
Is EVRAZ steel owned by Russia?
EVRAZ steel has significant ties to Russia, with part-ownership by Russian oligarchs and operations mainly in the country. However, its UK incorporation suggests a level of separation from direct Russian state control.
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