Cleveland-Cliffs Inc’s $120 Million Senior Secured Notes


Jones Day represented Cleveland-Cliffs Inc. in the offering.

Cleveland-Cliffs Inc. (NYSE: CLF) announced that it has priced an additional $120 million aggregate principal amount of Senior Secured Notes due 2026 in an offering that is exempt from the registration requirements of the Securities Act of 1933. The Additional Notes will bear interest at an annual rate of 6.75% and will be issued at a price of 99.250% of their principal amount.

Cliffs intends to use the net proceeds from the Additional Notes Offering to finance the construction of its hot briquetted iron (“HBI”) production plant. Pending such use, Cliffs intends to use the net proceeds from the Additional Notes Offering to temporarily reduce borrowings under its ABL Facility.

Founded in 1847, Cleveland-Cliffs is among the largest vertically integrated producers of iron ore and steel in North America. With an emphasis on non-commoditized products, Cliffs is uniquely positioned to supply both customized iron ore pellets and sophisticated steel solutions to a quality-focused customer base, with an industry-leading market share in the automotive industry.

The Jones Day team was led by Michael Solecki (Picture), Kevin Samuels and Andrew Thomas.

Involved fees earner: Kevin Samuels – Jones Day; Michael Solecki – Jones Day; Andrew Thomas – Jones Day;

Law Firms: Jones Day;

Clients: Cleveland-Cliffs Inc;

Author: Ambrogio Visconti