History of arcelormittal - acquisition timeline - historic company profile
Brief history of ArcelorMittal, Ispat and LNM Holdings.

History of Arcelor Mittal


ArcelorMittal was formed from the acquisition of Arcelor by Mittal Steel. Mittal Steel was in turn formed from the merger of ISPAT International and LNM Holdings. The timeline below covers the history of these firms.

  • 1989: Lease deal with Iron & Steel Company of Trinidad & Tobago.
  • 1992: Acquisition of Sibalsa in Mexico.
  • 1994: Acquisition by Ispat of Sidbec-Dosco in Canada.
  • 1995: Acquisition of Karmet Works in Kazakhstan.
  • 1995: Acquisition of Hamburger Stahlwerke in Germany.
  • 1997: Ispat International floats in NY & Amsterdam.
  • 1997: Takeover of Thyssen Duisberg, Germany.
  • 1998: Acquisition of Inland Steel Company, USA.
  • 1999: Ispat purchase of Unimetal, France.
  • 2001: Purchase of Sidex Galati in Romania.
  • 2001: Purchase of Alfasid [renamed Mittal Steel Annaba] in Algeria.
  • 2001: Equity partnership deal with Iscor, South Africa.
  • 2003: Acquisition of Nova Hut in Ostrava, Czech Republic.
  • 2004: Acquisition of Skopje plant from Balkan Steel, Macedonia.
  • 2004: LNM Holdings & ISPAT International merged into Mittal Steel.
  • 2005: Purchase of PHS - Polskie Huty Stali in Poland.
  • 2005: Mittal Steel takeover of the International Steel Group, USA.
  • 2005: Acquisition of Kryvorizhstal, Kryvyi Rih in Ukraine.
  • 2005: Purchase of small stake in Hunan Valin, China.
  • 2005: Iron ore mining agreement with government of Liberia.
  • 2005: Unsuccessful bid for Erdemir Group, Turkey.
  • 2006: Acquisition of Arcelor and creation of ArcelorMittal.
  • 2007: ArcelorMittal purchase of 100% stake in Galvex, Estonia.
  • 2007: Arcelor Mittal finalises acquisition of Sicartsa.
  • 2008: Increase of stake in Macarthur Coal Australia to ~20%.
  • 2008: Sale of Sparrow's Point to Russia's Severstal.
  • 2008: Creation of VAMA jv between ArcelorMittal & China's Valin Steel.
  • 2008: Purchase of three coal mining assets in Russia.
  • 2009: Dispute in South Africa over iron ore supply from Kumba.
  • 2009: Divestment of minority interest in Wabush Mines, Canada.
  • 2010: Spin-off of stainless & specialty steels business into Aperam.
  • 2011: ArcelorMittal wins control of Baffinland iron ore mine, Canada.
  • 2012: Sale of 48.1% stake in Paul Wurth Group to SMS GmbH.
  • 2012: Florange steel closure announced - much political reaction.
  • 2012: 15% stake sold in Canada Mines for $1.1 billion.
  • 2013: Rumoured interest in purchase of TKS Alabama Calvert mill.
  • 2013: Plan announced to raise $3.5bn to lower debt via share issue.
  • 2013: Cancellation of 12 mt per annum steel project in Odisha.
  • 2013: Sells 6.66% equity stake in Turkey's Erdemir Group for $267m.
  • 2013: Opens new auto stampings production plant in Senica, Slovakia.
  • 2013: ArcelorMittal (& others) buy ThyssenKrupp Alabama steel mill.
  • 2014: Pays $90 million to settle US price-fixing lawsuit.
  • 2014: Agrees Senegal $150m fine over failed Faleme iron ore mine deal.
  • 2014: Opens new US$852 million advanced automotive steel plant in China.

Notes
  • 1995 purchase: Karmet also known as the Karaganda Metallurgical Kombinat. The facility is now known as ArcelorMittal Temirtau.
  • 1997 flotation of Ispat International - at this point the Company controlled group steelmaking operations in Trinidad & Tobago, Mexico, Canada and Germany. The stock exchange debut involved a $776 million initial public offering.
  • In December 2004 Ispat International acquired LNM Holdings NV. The merged company’s name was then changed to Mittal Steel Company NV.
  • 2005 purchase of PHS comprised Huta Katowice, Huta Sendzimira, Huta Florian and Huta Cedler.
  • 2005 deal with International Steel Group (ISG) involved acquisition of the former Inland Steel's East Chicago Works, ex-LTV Corporation's Indiana Harbor Works and the Burns Harbor Works that had previously been owned by Bethlehem Steel.
  • 2005 bid for the Erdemir Group was won by OYAK, the Turkish army pension fund.
  • 2007 Sicartsa deal involved acquisition of long product capacity of ~2.7 million tonnes on facilities in Mexico (Lazaro Cardenas) and in Texas, USA (Border Steel). It included purchase of Sicartsa's wholly owned mine with iron ore reserves of ~160 million tonnes.
  • 2008 purchase in Russia was of Beryozovskaya and Pervomayskaya coal mines and of the Zhernovskaya coal deposit.
  • In the 2009 Kumba dispute, the Sishen Iron Ore Company [a subsidiary of Kumba Iron Ore Ltd] informed ArcelorMittal South Africa (AMSA) in early 2010 that the steelmaker was no longer entitled to receive 6.25 mt per annum of iron ore mined by Sishen at cost plus 3%, as AMSA had failed to convert its old order mining rights in May 2009. Adding to the complexity of this dispute, the 21.4% mining rights not converted by AMSA were sold in early 2010 to Imperial Crown Trading 289 (Pty) Ltd (“ICT”), a step that was later challenged by Sishen. As at mid-2011, both cases are the subject of separate legal proceedings.
  • 2011 purchase of Baffinland was a combined venture involving ArcelorMittal (70% ownership) and Nunavut Iron Ore Acquisition Inc (30% stake) of the Canadian iron ore mining assets.
  • Towards the end of 2012, ArcelorMittal determined that operation of two blast furnaces at Florange in France was no longer economic, and announced their planned closure. The French Government reacted by threatening to nationalise the company's Florange site. This step triggered much debate about the role of the State in private business, the value of interventionism, and messsages sent to future investors. Closure of Florange steelmaking was nonetheless postponed - over the short-term at least.
  • ThyssenKrupp decided to sell its Steel Americas business in mid-2012. This business included a new 5 mt/year integrated steel slab plant in Brazil as well as a rolling mill in Calvert, Alabama. It is understood that ArcelorMittal's interest is in the Alabama finishing mill only.
  • ArcelorMittal commenced work on several mega projects in India in ~2005-2006 but (like POSCO) faced many hurdles with land acquisition and other matters which led to major delays. These projects - all involving integrated steelmaking and costing almost $30 billion in total - were planned in Odisha, Jharkhand and at Karnataka. The Odisha project was finally cancelled in August 2013. As at Q3 2013, the status the Jharkhand and Karnataka projects remains uncertain.
  • VAMA began construction in mid-2012, with operations expected to commence mid-2014 and production geared primarily to the Chinese auto market. The jv will produce state-of-the-art automotive steels. ArcelorMittal is supporting the project with provision of production know-how. VAMA’s product portfolio is to include technologically advanced steel products including ultra high strength steel with strengths of up to 1200MPa and other advanced steels especially designed for hot stamping. VAMA's production lines will include continuous pickling and cold rolling with an annual production capacity of ~1 million tonnes of steel, with continuous annealing and continuous hot dip galvanising capability.
  • ArcelorMittal stake in the Erdemir Group was ~25% until March 2012, when it sold ~6.3% of the equity for ~US $268m. The October 2013 sale of the 6.66% stake further reduces ArcelorMittal's ownership to around 12.1%.
  • ArcelorMittal and Nippon Steel & Sumitomo Metal Corporation in November 2013 acquired ThyssenKrupp's Alabama steel mill in Calvert for $1.55 billion.
  • ArcelorMittal had initially planned to invest $2.2 billion in the Faleme iron ore mine project, including the construction of a new port near Dakar and a 750 km railway line. The mine, in the country's far east, is estimated to contain ~750 million tonnes of iron ore reserves. However, the project was suspended after the global economic crisis struck.
  • Valin ArcelorMittal Automotive Steel Co in June 2014 officially opened its new $852m advanced automotive steel plant in China. The joint venture between ArcelorMittal and Hunan Valin Iron & Steel Co will produce high-strength automotive steels for the Chinese market.


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