Algoma Steel no longer for sale

Friday, 05 August 2005 23:26:54 (GMT+3)   |  

Algoma Steel no longer for sale

Instead of getting swept up in global consolidation, Algoma Steel Inc. has withdrawn itself from the market and will instead pay a $6 per share dividend to its shareholders. Shareholders will receive approximately $241 million in cash in a special dividend. The company will also buy back 3.3 million of its 40.1 million of its outstanding shares in the next year. Algoma recently announced its second quarter net income fell 28 percent. The company attributes sinking steel prices for its earning woes. Algoma Steel is an integrated steel producer based in Sault Ste. Marie, Ontario. Revenues are derived primarily from the manufacture and sale of rolled steel products including hot and cold rolled sheet and plate.

Tags: Plate Crc Flats M&A 

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