Aug 25 Miner Cliffs Natural Resources Inc
said on Monday it will try to remove restrictions on its
debt agreements so it can buy back up to $200 million worth of
Cliffs said its board has authorized "all the necessary
steps to remove the limitations and restrictions present in the
company's current debt agreements which preclude Cliffs' ability
to execute the buyback program."
The Cleveland-based iron ore and coal producer's board also
approved a plan to buy back as much as $200 million in common
shares by Dec 31, 2015.
Hedge fund Casablanca Capital triumphed in a proxy battle at
Cliffs last month. The fund's nominees took the majority of
seats on the board, and nominee Lourenco Goncalves became
chairman and chief executive.
"We believe that the stock buyback will be smoothly
executed, and should benefit our valuable shareholders," said
Goncalves in a statement.
As of June 30, Cliffs had $360 million in cash and
equivalents and $3.3 billion in long-term debt.
Cliffs shares were up 0.8 percent at $15.93 on the New York
(Reporting by Allison Martell)