Hebei Iron & Steel Group finalizes C$119.9 million investment in Alderon
March 15, 2013
119.90 Million CAD
On March 15, 2013, Alderon Iron Ore Corp. announced that Hebei Iron & Steel Group Co., Ltd. (HBIS) contributed the remaining C$119.9 million of its initial investment, and Alderon contributed the Kami iron ore project to a limited partnership, which is owned 25% by HBIS and 75% by Alderon.
This concludes HBIS's initial strategic investment, first announced on April 13, 2012, into Alderon and its Kami Project for an aggregate amount of C$182.2 million, in exchange for 19.9% of the outstanding common shares of Alderon (completion announced on September 4, 2012), and a 25% interest in the Kami Limited Partnership, which was established to own the Kami Project. Alderon has the remaining 75% interest in the Kami Limited Partnership.
HBIS, headquartered in Shijiazhuang, Hebei, is China's largest steel producer.
Alderon, headquartered in Montréal, Québec, is an iron ore development company.
McCarthy Tétrault LLP represented Hebei Iron & Steel Group, as investor, in the final stages of the transaction. The team was led by Joyce Lee.