The board of directors of Ohio-based WCI, which produces 1.22 million metric tons of high-quality, customized flat-rolled steel annually, recommended the transaction to its shareholders. Shareholders representing a majority of WCI's shares unanimously consented to the transaction, which was also supported by the United Steel Workers, Severstal said.
"Together with Severstal's current U.S. operations in Dearborn, Michigan, Columbus, Mississippi, and the recently acquired Sparrows Point in Baltimore, Maryland, WCI will increase the Company's North American leadership in the high-quality flat-rolled steel segment for the automotive, appliance, furniture, construction and energy markets," the Russian steel firm said in a statement.
The deal is expected to be closed at the end of the second and at the beginning of the third quarter following approval from the U.S. government and regulatory authorities, Severstal said.
