WS sold part of its interest to ICGE for $180 million. The remaining part is valued like othe b2b firms could be worth as more than the current price of the company. Just look at freemarkets. Also the Steel bus is coming back strong!
Weirton sold part of MetalSite to Internet Capital
WEIRTON, W.Va., Dec 29 (Reuters) - Steel maker Weirton Steel Corp. <WS.N> on Wednesday said it had sold a portion of its stake in online steel commerce business MetalSite LP to Internet Capital Group Inc. <ICGE.O> for about $180 million.
Weirton, which developed MetalSite, will continue to own a significant share of the company, it said in a statement. MetalSite, based in Pittsburgh, sells prime and excess prime steel through its Web site for various steel companies. It began operations in 1998.
Weirton shares were up 5/16 at 7-1/16 on the New York Stock Exchange in late-morning trading. Shares of Internet Capital, which invests in Internet commerce companies, were off 9-5/8 at 166-1/2 on Nasdaq.
"The transaction strengthens Weirton Steel's financial base while enabling our company to continue to participate in MetalSite's continuing success," Weirton President and Chief Executive Officer Richard Riederer said. "We expect to use the amount realized for corporate purposes, including debt reduction."
"MetalSite has revolutionized the way steel is bought and sold, making the process more efficient and effective," Riederer said.
11:22 12-29-99
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