CHICAGO ALJ Regional Holdings Inc. has cleared one
hurdle as it looks to sell special bar quality (SBQ) and
merchant bar quality steel flats producer Kentucky Electric
Steel LLC (KES) to Optima Specialty Steel Inc.
The Ashland, Ky.-based parent of KES said late Monday that the
antitrust review period under the Hart-Scott-Rodino Antitrust
Improvements Act of 1976 expired Friday. That expiration
satisfies one of the closing conditions of the sale, ALJ said.
The deal still remains subject to other conditions, including
approval by ALJ shareholders as well as the receipt of debt
financing by Miami-based Optima Specialty Steel, ALJ said.
The companies announced plans for ALJ to sell KES to Optima for
$112.5 million last month (
amm.com, Nov. 20
Optima Specialty Steel president and chief executive officer
Kevin Stevick told AMM the company planned to modify KESs
facilities to make SBQ rounds, the feedstock needed to make SBQ
flats as well the seamless tubular products manufactured by
Michigan Seamless Tube LLC and the cold-finished bar products
made by Niagara LaSalle Corp., the two companies that were
brought together to form Optima Specialty Steel (
amm.com, Dec. 13, 2011