ArcelorMittal to spin off stainless steel unit

Oddo analysts valued the business at 3.4-4.2 billion,Les Echos newspaper reported on Wednesday.

The company said in July it was looking into spinning off the division to shareholders. The business employs around 11,000 people,about 4 percent of ArcelorMittal8217;s total workforce.

The Stainless Steel division8217;s 2009 sales were 4.2 billion,or about 7 percent of the group8217;s total consolidated sales.

It expected the spin-off to result in a non-cash impairment charge of about 800 million.

The division will have net debt of about 1 billion,although the divestment won8217;t affect ArcelorMittal8217;s leverage ratio,it said.