Gerdau ownership may change

Gerdau Ameristeel Corp. may soon become a fully-owned subsidiary of its Brazilian parent in a deal that could be worth up to $1.7 billion.

Gerdau SA, the largest steelmaker in Latin America, already owns 66.3% of Gerdau Ameristeel, the Tampa-based company. Now, in an effort to cut debt servicing costs, the Rio de Janiero-based parent is offering $11 in cash for each remaining share of company stock to obtain complete ownership.

Shares of Ameristeel stock (Symbol: GNA) were trading between $7 and $7.50 a share yesterday, before spiking up to the $11 mark after news of the proposed buyout.