Perth, 2 March 2009: The Clayton Utz Corporate M&A team advised long-term client Fortescue Metals Group Ltd on its recently announced deal with one of China’s leading steel mills, Hunan Valin Iron and Steel Group Company (Valin).
The A$558 million investment will see Valin subscribe for 225 million new Fortescue shares under a Share Subscription Agreement . Valin has also entered into an agreement to purchase 275 million existing shares from a large Fortescue shareholder, Harbinger Capital Partners.
Subject to satisfying regulatory conditions, the acquisitions will give Valin an approximate 16 percent stake in Fortescue.
Perth Corporate M&A partner Mark Paganin led the Clayton Utz advisory team, which includes partners Peter Wilkes and Matthew Johnson.