Paz del Rio up for auction today

A 52 percent stake in Colombia's second largest steelmaker Paz del Rio will be auctioned today, March 16, at 3.30 p.m. local time (-0500 UTC) on the Bogotá stock exchange. The controlling stake in the company will be auctioned by the current shareholders - the Colombian government, the company's workers and other minor shareholders - for a minimum price of COP 427 billion ($194 million). Although the names of the bidders have not been disclosed, the Colombian Anti-Trust Agency has authorized four foreign companies – Arcelor Mittal, Brazilian CSN, Gernau SA and industrial group Votorantim – to participate in the auction. In order to participate in the auction, these four bidders had each to lodge a deposit of at least COP171 billion ($87 million) as a guarantee. Currently, Paz del Rio is the second largest steelmaker in Colombia, owning iron ore and coking coal assets in addition to its steel mill.