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Supplies are unloaded at the Baffinland Iron Mines' Mary River Camp on Baffin Island

Equicom Group

ArcelorMittal and Nunavut Iron Ore said Tuesday that they have taken up an additional 4.8 million shares of Baffinland Iron Mines , increasing their joint ownership in the iron ore explorer to 62 per cent.

The world's No. 1 steel maker and private equity-backed Nunavut, former rivals in a months-long battle to control the company and its Mary River project in the Canadian Arctic, made a joint bid of $1.50 a share for Baffinland last month.

Between them, ArcelorMittal and Nunavut now hold 65 per cent of all outstanding shares and 45 per cent of outstanding 2007 warrants, representing 62 per cent of fully diluted shares.

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The joint offer, which values Baffinland at $590-million, is for 100 per cent of the company and is set to expire on Feb. 4.

An agreement between ArcelorMittal and Nunavut will see the two parties split their ownership of the company at 70 per cent and 30 per cent respectively.

Baffinland owns the high-grade, Mary River iron ore project in the Canadian territory of Nunavut. The project has nine high-grade deposits and could hold enough iron ore to supply all of Europe for years to come.

Shares of Baffinland closed at $1.50 on Monday on the Toronto Stock Exchange.

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