On December 7, US-based steelmaker AK Steel Holding Corporation announced that its subsidiary AK Steel Corporation has successfully priced a public offering of $150 million of senior notes issued as an add-on to its 7.625 percent senior notes due 2020.
AK Steel will pay interest on the notes semi-annually on May 15 and November 15 of each year. Interest on the newly issued notes will accrue from November 15, 2010. The notes will be fully and unconditionally guaranteed on a senior unsecured basis by AK Steel Holding Corporation.
AK Steel intends to use the net proceeds from the sale of the notes for general corporate purposes. The offering is expected to close on December 9, 2010, subject to customary closing conditions.
The joint book-running managers for the offering are BofA Merrill Lynch, Credit Suisse, J.P. Morgan, Morgan Stanley, UBS Investment Bank and Wells Fargo Securities.