OneSteel to proceed buying Anglo American assets
Australian-based OneSteel Ltd (ASX:OST) says it has met all regulatory conditions to buy the Moly-Cop and AltaSteel businesses from global mining group Anglo American.
Moly-Cop and AltaSteel--based in Santiago, Chile, and Edmonton, Canada, respectively--operate grinding steel products businesses throughout the Americas.
Under the agreement, the steel miner will also acquire a 40 per cent shareholding from Anglo American in Donhad, an Australian media grinding producer.
Anglo American is reportedly looking to reduce debt following a 2008 purchase of Brazilian mining company Minas-Rio for $5.5 billion.
As a result of the acquisition, OneSteel will establish a separate mining consumables division that will cover the newly acquired businesses, its Waratah facilities and existing media grinding business in the US and Indonesia.
The company expects to complete the acquisition by the end of the month.