Saturday, March 26, 2011

ArcelorMittal, Nunavut and Baffinland complete plan of arrangement

TORONTO 25 MARCH 2011 / LUXEMBOURG 26 MARCH 2011 - ArcelorMittal, Nunavut Iron Ore Acquisition Inc. and Baffinland Iron Mines Corporation ("Baffinland") today announced the completion by Baffinland and 1843208 Ontario Inc. ("Acquireco"), a corporation owned as to 70% by ArcelorMittal and as to 30% by Iron Ore Holdings, LP, of the court approved plan of arrangement (the "Arrangement") pursuant to which Acquireco acquired all outstanding securities of Baffinland not already owned by it. The Arrangement was approved by shareholders of Baffinland on March 22, 2011.

Under the terms of the Arrangement, former Baffinland security holders, other than dissenting shareholders, will receive cash consideration of C$1.50 per common share; C$0.80 per common share purchase warrant issued pursuant to a warrant indenture dated 10 December 2009; and C$0.10 per common share purchase warrant issued pursuant to a warrant indenture dated 31 January 2007. 

Acquireco intends to promptly fund Computershare Investor Services Inc. to ensure that registered securityholders who have deposited certificates representing securities along with a duly completed and executed letter of transmittal are sent payment within four business days in accordance with their instructions as set out in letter of transmittal.  Securityholders who hold their securities through an investment advisor, stockbroker, bank, trust company or other nominee should contact the nominee to take the necessary steps to be able to deposit their securities and to confirm when payment for such securities can be expected.

Dissenting shareholders will be entitled to receive "fair value" for the common shares formerly held by them, as determined in accordance with the Business Corporations Act (Ontario).
Baffinland will immediately proceed to delist its securities from the Toronto Stock Exchange and to cause Baffinland to cease to be a reporting issuer under the securities laws of each province and territory of Canada.

No comments: