 |
January 29, 2008 |
|
|
|
 |
GERDAU SA: Chaparral Steel Acquisition is Biggest Takeover Deal PricewaterhouseCoopers said in a report that Gerdau SA's acquisition of U.S. firm Chaparral Steel was the biggest takeover transaction by a Brazilian company last year. Business News Americas relates that Gerdau unit Gerdau Ameristeel closed the deal to buy Chaparral Steel for US$4.22 billion in September 2007. Meanwhile, Gerdau's accord to buy US-based Quanex Corp.'s steel mill operation Macsteel for US$1.70 billion was also listed in the 2007 ranking. According to PricewterhouseCoopers' report, Gerdau also figures among the Brazilian companies that conducted 10 or more mergers or acquisitions last year. Headquartered in Porto Alegre, Brazil, Gerdau SA -- http://www.gerdau.com.br/ -- produces and distributes crude steel and related long rolled products, drawn products, and long specialty products. In addition to Brazil, Gerdau operates in Argentina, Canada, Chile, Colombia, Uruguay, India and the United States. As reported in the Troubled Company Reporter-Latin America on Nov. 26, 2007, Moody's Investors Service affirmed Gerdau S.A.'s Ba1 corporate family rating and stable outlook, following the announcement of an agreement to acquire the specialty steel operations of Quanex Corporation, mainly represented by its MacSteel division for some US$1.46 billion in cash. All other ratings related to the company were affirmed. Ratings affirmed are: Issuer: Gerdau S.A. -- Ba1 Global Local Currency Corporate Family Rating -- US$600 million Senior Unsecured Guaranteed Perpetual Notes: Ba1 Foreign Currency Rating Issuer: Gerdau Brazil (fictitious entity representing the Brazilian operations of Gerdau S.A. comprising Gerdau Acominas S.A., Gerdau Acos Longos S.A., Gerdau Acos Especiais S.A., and Gerdau Comercial de Acos S.A.). -- Ba1 Global Local Currency Corporate Family Rating Issuer: Gerdau Ameristeel Corporation -- Ba1 Probability of Default Rating -- Ba1 Corporate Family Rating -- US$405 million Senior Unsecured Regular Bond: Ba1, LGD4 59% Issuer: Jacksonville Economic Development Comm. -- US$23 million Senior Unsecured Revenue Bonds guaranteed by Gerdau Ameristeel: Ba1, LGD4 59% Outlook for all ratings: stable |
|
|
||
|
Today's Top Stories have been selected from the Troubled Company Reporter - Asia Pacific. To receive the Full TCR-AP please CLICK HERE.
