Brazilian steelmaker Companhia Siderurgica Nacional (CSN) plans to use its proposed IPO, along with other alternatives, as a way to reduce its debt, according to media reports.
CSN might offer shares at companies or sell assets to raise cash to reduce debt.
Despite having managed to successfully extend existing debt with its key creditors, CSN said recently it has a debt guidance of BRL 23 billion ($4.3 billion). About 70 percent of CSN’s debt is denominated in USD, according to a media report.
As previously reported by SteelOrbis, CSN plans to launch an initial public offering (IPO) for its mining arm. It is also considering selling its steel business in Germany.