ArcelorMittal Seen Locked Out of Markets as Steel Punishes Bonds
- Company faces $15 billion repayment bill over next six years
- Steelmaker struggling to cope with metals-price plunge
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ArcelorMittal SA, the steelmaker facing almost $15 billion of bond repayments over about six years, has been locked out of credit markets, according to money managers.
Bonds of the world’s largest producer of the alloy have fallen to levels that make an immediate return to the market too costly, said Olivier Monnoyeur, a high-yield portfolio manager at BNP Paribas Investment Partners. Thirteen of ArcelorMittal’s 16 notes due by 2022 have fallen this year, with some quoted at as low as 75 percent of face value, and with some yields as high as 12 percent, according to data compiled by Bloomberg.