Ad Hoc Releases, 2006-01-14, 03:00 PM
Dofasco and ThyssenKrupp announce increased offer to C$68.00
Dofasco Inc. and ThyssenKrupp AG jointly announced today that ThyssenKrupp has agreed to increase its cash offer to purchase all of the outstanding common shares of Dofasco Inc. from C$63.00 to C$68.00 per common share. In consideration for the increased offer price Dofasco has agreed to amend the existing Support Agreement with ThyssenKrupp and to increase the break fee payable from C$100 million to C$215 million. Under the terms of the Support Agreement the break fee becomes payable to ThyssenKrupp by Dofasco in the event the offer is not completed under certain circumstances.
ThyssenKrupp intends to mail a notice of variation and extension to Dofasco shareholders on Monday, January 16, 2006, and will extend the date of acceptance of its increased offer from January 25 to January 26, 2006, in accordance with applicable securities laws. The Dofasco Board of Directors also intends to mail to Dofasco shareholders on Monday, January 16, 2006, a Directors Circular unanimously recommending to Dofasco shareholders that they accept the ThyssenKrupp offer and reject the Arcelor offer announced December 23, 2005.