Cleveland Cliffs Inc (CLF)

[DewDiligence]

CLF sells 63.25M* shares @$10.75—a much better price than the $10.00 I had hypothesized in my back-of-the-envelope calculation in #msg-128585472:

http://finance.yahoo.com/news/cliffs-natural-resources-inc-prices-000600293.html

The offering will yield net proceeds (after underwriting fees) of about $640M*, reducing CLF’s net debt (for the time being) to less than $1.2B.

That CLF was able to raise that much money at a (relatively narrow) 5% discount to yesterday’s closing price is a bullish sign.

After the offering, CLF will have 296M* basic shares outstanding.

*Assuming exercise of underwriter’s option on 8.25M shares.