Under the terms of the agreement, Noble has acquired ArcelorMittal's Tailored Blank Arcelor (TBA) laser-welding operations at a total cost of $300 million, with ArcelorMittal obtaining 9.375 million shares of Noble's common stock and the rest in cash, the assumption of certain TBA obligations and a subordinated note.
As part of the deal, Noble has acquired eight production facilities, including one facility in the United States, plus interests in two joint ventures in Asia, thus becoming operative in 23 production facilities worldwide.
As a result of the transaction, ArcelorMittal will be the largest stockholder of Noble, owning approximately 40 percent of the issued and outstanding common shares.
In its press release, Noble stated that Noble and ArcelorMittal had entered into a transition services and steel supply agreement to support Noble's European operations and that Noble would have access to ArcelorMittal's automotive-related research and development efforts.