Techint's Ternium goes public
South America's second-largest steelmaker, Ternium SA, has raised $496.9 million in an initial public offering, to the profit of investor Grupo Techint.
Techint sold 24'844'720 American depository receipts, or 12 percent of the
Luxembourg-based steel producer's stock, for $20 each, valuing the company at $4.12 billion. After
trading began on the New York Stock Exchange Tuesday, Ternium was
trading at US$23.52.
The money raised will help the Techint-owned company to pay off some of its debt.
Ternium, made up of steelmakers Sidor (
Venezuela), Siderar (
Argentina), and Hylsamex (
Mexico), has an 11.6 million metric ton per year capacity and a sales forecast of US$5.5 billion.