What Is The Potential Impact Of ArcelorMittal’s Recent Transactions Aimed At Debt Reduction?
With the steel industry characterized by weak demand and pricing, ArcelorMittal – the world’s largest steelmaker – has prioritized shoring up its balance sheet through debt reduction. The company has earmarked the proceeds of recently announced transactions such as a stake sale in Gestamp Automocion ( a Spanish automotive components maker) and a $3 billion Dollar rights issue for debt reduction. With the company set to meet its capital spending and working capital needs for the year through cash flow from operations (as per our estimates), if the company uses the proceeds of the aforementioned transactions for debt reduction, it could lower its total outstanding debt by around 20% by year end.
Have more questions about ArcelorMittal? See the links below.
- What Is ArcelorMittal’s Revenue And EBITDA Breakdown?
- What Is ArcelorMittal’s Fundamental Value Based On 2015 Results?
- By What Percentage Did ArcelorMittal’s Revenue & EBITDA Change In The Last 4 Years?
- How Has ArcelorMittal’s Revenue Composition Changed Over The Last 4 Years?
- By What Percentage Can ArcelorMittal’s Revenue & EBITDA Grow In The Next 3 Years?
- How Will ArcelorMittal’s Revenue Composition Change by 2020?
- ArcelorMittal: A Look Back At The Year 2015
- With Steel Facing Competition From Aluminum In Automotive Applications, By What Percentage Will ArcelorMittal’s Automotive Steel Shipments Change By 2020?
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