ArcelorMittal (the ‘Company’ or ‘ArcelorMittal’) announced today that it has determined the final repurchase price for its previously announced repurchases of certain of its 5.50% Mandatorily Convertible Subordinated Notes due 2023 (the ‘Notes’).
As previously announced on 13 December 2021, ArcelorMittal has entered into separate, privately negotiated agreements to repurchase approximately US$395 million in aggregate principal amount of the Notes. The price determination period in respect of those repurchases has now been completed, and the aggregate repurchase price that ArcelorMittal will pay for those Notes will be US$1.196 billion. The transactions are expected to close on 23 December 2021.
The repurchase of this aggregate principal amount of Notes is equivalent to repurchasing approximately 36.6 million shares of ArcelorMittal common stock that would otherwise be issuable at maturity under the Notes (at the minimum conversion ratio). Pursuant to the purchase agreements the Notes will be cancelled and therefore the repurchased Notes will not convert into common shares of the Company.
Following completion (subject to customary conditions) of the repurchases, approximately US$608 million aggregate principal amount of the Notes will remain outstanding.
This transaction is a further step in the Company’s ongoing capital return program.
Citigroup Global Markets Inc. is acting as the exclusive agent in connection with the transaction.