The world's number one steelmaker ArcelorMittal has announced the increase of its overall stake in the privately-owned Chinese steel company China Oriental Group Co. Ltd. (China Oriental) to 92.1 percent together with its concert parties, following the completion of the general offer and accounting for all valid acceptances.
On 14 December 2007, ArcelorMittal launched a mandatory cash tender offer to acquire all of the outstanding share capital in China Oriental. Prior to the offer ArcelorMittal together with its concert parties held approximately 73 percent of the existing issued share capital of China Oriental.
ArcelorMittal said that the minimum public float requirement under the Hong Kong Stock Exchange listing rules of 25 percent would be restored soon. As an interim measure, China Oriental applied for a suspension of trading of the shares on the Hong Kong Stock Exchange with immediate effect.
China Oriental Group mainly manufactures and sells steel products such as billets, strips, H-beams, cold rolled and galvanized strip through its principal operating subsidiaries, Hebei Jinxi Iron & Steel in Hebei Province and Foshan Jinxi in Guangdong Province.