AM InvestCo signs amendment agreement with Ilva Commissioners
March 04 2020 - 10:00AM
4 March 2020, 16:00 CET
ArcelorMittal announces that AM InvestCo and the Ilva
Commissioners have today signed an amendment (the ‘Amendment
Agreement’) to the original lease and purchase agreement for Ilva.
The Amendment Agreement outlines the terms for a significant
investment by Italian state-sponsored entities into AM InvestCo,
thereby forming the basis for an important new partnership between
ArcelorMittal and the Italian government. The equity investment by
the Italian Government in Ilva, to be captured in an agreement (the
'Investment Agreement') to be executed by 30 November 2020, will be
at least equal to AM InvestCo’s remaining liabilities against the
original purchase price for Ilva.
The Amendment Agreement is structured around a new industrial
plan for Ilva, which involves investment in lower-carbon
steelmaking technologies. The core of the new industrial plan is
the construction of a DRI facility to be funded and operated by
third party investors and an EAF to be constructed by AM
InvestCo.
In addition, AM InvestCo and the Ilva Commissioners have entered
into a separate settlement agreement whereby AM InvestCo agreed to
revoke its notice to withdraw from the original agreement and the
Ilva Commissioners agreed to withdraw their request for an
injunction, which was scheduled to be heard in the Civil Court of
Milan on 6 March 2020.
In the event that the Investment Agreement is not executed by 30
November 2020, AM InvestCo has a withdrawal right, subject to an
agreed payment.
Final closing of the lease and purchase agreement is now
scheduled by May 2022, subject to various conditions
precedent*.
ENDS
*The conditions precedent to closing include: the closing of the
Investment Agreement; the amendment of the existing environmental
plan to account for changes in the new industrial plan; the lifting
of all criminal seizures on the Taranto plant; the absence of
restrictive measures – in the context of criminal proceedings where
Ilva is a defendant – being imposed against AM InvestCo; and
a new agreement with trade unions.
About ArcelorMittal
ArcelorMittal is the world's leading steel and
mining company, with a presence in 60 countries and an industrial
footprint in 18 countries. Guided by a philosophy to produce safe,
sustainable steel, we are the leading supplier of quality steel in
the major global steel markets including automotive, construction,
household appliances and packaging, with world-class research and
development and outstanding distribution networks.
Through our core values of sustainability,
quality and leadership, we operate responsibly with respect to the
health, safety and wellbeing of our employees, contractors and the
communities in which we operate.
For us, steel is the fabric of life, as it is at
the heart of the modern world from railways to cars and washing
machines. We are actively researching and producing steel-based
technologies and solutions that make many of the products and
components people use in their everyday lives more energy
efficient.
We are one of the world’s five largest producers
of iron ore and metallurgical coal. With a geographically
diversified portfolio of iron ore and coal assets, we are
strategically positioned to serve our network of steel plants and
the external global market. While our steel operations are
important customers, our supply to the external market is
increasing as we grow.
In 2019, ArcelorMittal had revenues of $70.6
billion and crude steel production of 89.8 million metric tonnes,
while own iron ore production reached 57.1 million metric
tonnes.
ArcelorMittal is listed on the stock exchanges
of New York (MT), Amsterdam (MT), Paris (MT), Luxembourg (MT) and
on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and
Valencia (MTS). For more information about ArcelorMittal please
visit: http://corporate.arcelormittal.com/
|
|
Contact information ArcelorMittal Investor
Relations |
|
|
|
Europe |
+44 20 7543 1156 |
Americas |
+1 312 899 3985 |
Retail |
+44 20 7543 1156 |
SRI |
+44 207543 1156 |
Bonds/Credit |
+33 171 921 026 |
|
|
|
|
Contact information ArcelorMittal Corporate
Communications |
|
E-mail: |
press@arcelormittal.com |
Phone: |
+442076297988 |
|
|
|
|
ArcelorMittal Corporate Communications |
|
|
|
Paul Weigh |
+44 20 3214 2419 |
|
|
ArcelorMittal (EU:MT)
Historical Stock Chart
From Aug 2024 to Sep 2024
ArcelorMittal (EU:MT)
Historical Stock Chart
From Sep 2023 to Sep 2024