Corrs Chambers Westgarth is advising Magnitogorsk Iron and Steel Works (LSE: MMK) on their approximately A$554 million acquisition by way of scheme of arrangement of Western Australian iron ore developer Flinders Mines Limited (ASX:FMS). This is MMK’s second major acquisition in Australia.

MMK has offered to acquire 100% of the issued shares in Flinders at A$0.30 cash per share by way of a scheme of arrangement; valuing Flinders at more than AUD $550 million.

MMK is among the world’s largest steel producers and is a leader of Russia’s steel industry.  The acquisition of Flinders will provide MMK with ownership and control of one of the last independent  high-quality iron ore development projects in the West Pilbara region of Western Australia.

The Corrs team was led by partner and co-chair of firm’s China Practice, Adam Handley with the support of partners Stephanie Daveson, David Hallam and Jonathan Leek.  They were supported by a team of lawyers including Tighe Whelan, John O’Grady, Simon Mifsud and Aidan Lavin.

Corrs lead partner Adam Handley said: “Corrs was able to muster a significant team from our national resources group to support MMK on this important transaction.  With extremely tight timeframes to complete our job, the team demonstrated yet again that we are able to work seamlessly and efficiently to ensure our client’s meet their strategic objectives.  We look forward to working with MMK to complete the scheme and are pleased to have been able to support MMK on both their major acquisitions in Australia”

The deal is subject to regulatory approvals and is expected to close in March 2012.