Automotive parts supplier Noble International Ltd. announced Friday it has signed a $285 million deal to acquire the laser-welding operations of Arcelor Mittal, the world's largest steel-maker.
The deal is expected to be complete in June 2007.
Arcelor Mittal will receive nearly 9.4 million shares of Noble's stock, at a price of $18 per share, plus $116 million in cash.
Noble is North America's largest laser welder with laser-welded flat blanks and laser-welded tubular products solutions for the automotive industry. The company operates 12 production facilities in the United States, Canada, Mexico and Australia, and employs more than 2,000 people. Noble's estimated pro forma 2006 revenue is approximately $600 million.
Upon completion, Arcelor Mittal will become the largest stockholder of Noble, owning approximately 40 percent of the issued and outstanding common shares. Arcelor will also obtain four of nine seats on Noble's board of directors.