Stelco files for IPO

Stelco says it’s planning to go public. The company filed the paperwork Wednesday for an initial public offering.

Some are surprised to hear Stelco is making moves to take the company public just months after the steelmaker emerged from bankruptcy protection.

The steel maker says it intends to use the net proceeds of the offering to develop new products, enhance the company’s production capabilities and fund early payment to pension and post-retirement benefits.

Local 1005 President says the union wasn’t surprised. “The big things for us is we just want to ensure that our pensions and the obligations we are entitled to gets paid.”

Stelco is owned by Bedrock Industries which won the bid for the steelmaker back in June, 3 years after it filed for creditor protection. We we reached out to Bedrock today they said they weren’t able to speak publicly because of the IPO process.

In June we spoke to Bedrock founder and chairman Alan Kestenbaum about his plans for Stelco.

“Increase the business by investing additional capitol in some equipment revitalizing culture in company and putting tactics we have used in others situations to work here at Stelco.”

Stelco says it hasn’t determined the number of shares to be sold and the price per share.