Benzinga | May 23, 2021 12:24PM EDT

Canada's Algoma Steel In Talks With Legato To Go Public Via SPAC Merger: Bloomberg

Canada's Algoma Steel Inc. is in talks with Legato Merger Corp (NASDAQ:LEGO) to go public through a SPAC merger, according to Bloomberg.

* The deal is expected to value the entity at more than $1 billion.

* The talks are in the preliminary stage, and the terms still could change or collapse.

* Based out of Sault Ste. Marie, Ontario, Algoma is a producer of hot- and cold-rolled steel products.

* In January, blank-check firm Legato was able to raise about $236 million in an initial public offering.

* Legato is led by a management team including David Sgro, Eric Rosenfeld and Brian Pratt. Chief Executive Officer Michael McQuade leads Algoma.

Photo: algoma.com