Davis Polk & Wardwell LLP advised Credit Suisse Securities (USA) LLC and Citigroup Global Markets Inc. as initial purchasers on a Rule 144A/Regulation S offering by Severstal Columbus, LLC, of $525 million aggregate principal amount of 10.25% first-priority senior secured notes due 2018. The notes will be secured by first-priority liens on Severstal Columbus’s existing and future fixed assets and a second-priority lien, behind Severstal Columbus's credit facility, on current assets.

Severstal Columbus, based in Columbus, Mississippi, owns the newest and one of the most technologically advanced steel mills in North America, and is a subsidiary of OAO Severstal, one of the largest steel producers in the world.

The Davis Polk capital markets team included partner Michael Kaplan and associates Byron B. Rooney and Rahael Seifu. The credit team included partner Joseph P. Hadley and associates Justin Goldblatt and Andrew H. Nash. Counsel Loyti Cheng and associate Hayden Baker provided environmental advice. Partner Po Sit and associate Devasish Majumdar provided tax advice. Counsel James P. McIntyre and associates Aaron M. Sacks and Jeffrey Meriggi provided real estate advice. Natalie Chan was the legal assistant on the transaction. All members of the Davis Polk team are based in the New York office.