Rouge sale to Severstal approved by bankruptcy court

New York, Jan. 1 - Rouge Industries Inc. said the U.S. Bankruptcy Court for the District of Delaware approved the sale of substantially all its assets to Severstal on Dec. 30.

Severstal won the bidding at the bankruptcy auction for Rouge with an offer of $285.5 million.

Severstal's original offer had been for $215 million.

In addition to Severstal, Russia's second-largest steelmaker, the other participant in the auction was United States Steel Corp.

Rouge, a Dearborn, Mich., steelmaker, filed for Chapter 11 bankruptcy protection on Oct. 23.

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