ArcelorMittal spends $339 million on Czech stake

BRUSSELS: ArcelorMittal SA, the world's largest steel maker, said Thursday that it would pay $339 million to buy out the Czech government's 10.9 per cent stake in its Czech unit.

The purchase ends all ArcelorMittal's legal action against the Czech government after it sought compensation for allegedly being shut out from bidding for Czech steel maker Vitkovice Steel during its 2005 privatization.

The deal takes ArcelorMittal's holding in ArcelorMittal Ostrava to 83 per cent. The remaining 13.88 per cent of the unit is held by Harvton Investments Limited.

ArcelorMittal Ostrava also struck a long-term supply agreement to sell hot metal to Vitkovice, now owned by Russia's biggest steel maker Evraz Group SA.