Steel Mills
June 4, 2019
Big River Steel Closes on $777 Million in Financing
Written by Tim Triplett
Big River Steel has big plans and now has access to the big dollars needed to fund them. The steelmaker reported Friday that it has closed and funded $487 million of 30-year bonds and $290 million of equity financing. The company will use the bond and equity proceeds to expand its scrap metal recycling and flat-rolled steel production facility in Osceola, Ark.
The expansion will double Big River’s flat-rolled steel production rated capacity to 3.3 million tons annually. The expansion also sets the stage for an incremental downstream investment, which will allow the company to produce even higher grades of electrical steels. The company expects demand for electrical steels to escalate with the market’s continued focus on energy efficiency and announced increases in hybrid and electric vehicle production.
