Valin Iron & Steel Co Ltd issued a notice to Shenzhen Stock Exchange, claiming board of directors discussed the implementation of non public offering of shares in 2008 and adjusted related contents.

Valin Iron & Steel said Valin Group will be the only buyer of non public offering this time after discussing with ArcelorMittal another largest shareholder of the company.

Previously, ArcelorMittal once stated it will purchase part of non public offering via cash.

As per repot, the price of non public offering was CNY 5.57 per share with closing price on January 25th CNY 3.72 much lower than additional oriented issuance price.

According to the agreement signed in 2008, Valin Iron & Steel will issue 27.8 million shares for Valin Group. Valin group purchased shares with CNY 1.12 billion through 5.48% equity of Valin Xianggang and 5.01% equity of Ly Steel. Other shares will be purchased in cash via CNY 42.846 million with total amount of CNY 1.548 billion to purchase all non-public shares.

(Sourced from MySteel.net)
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