Brazilian flats steelmaker Usiminas announced it has completed a capital reduction at its iron ore subsidiary, Mineracao Usiminas (MUSA).
The BRL 1 billion ($322 million) capital reduction was unanimously approved by the MUSA shareholders in a meeting in March, and is now 100 percent complete.
The capital reduction will allow Usiminas to use BRL 700 million ($225 million) to reinforce its cash position, an important step for the company’s approved debt restructuring plan.
Usiminas is a majority shareholder at MUSA, with 70 percent, while Sumitomo and Serra Azul Iron Ore jointly own the other 30 percent stake.