Cleveland-Cliffs (CLF) Surges 20.7% as Firm Looks to Cash in Billions From Idle Assets

We recently published 10 Stocks Surprise Wall Street with Double-Digit Gains. Cleveland-Cliffs Inc. (NYSE:CLF) is one of the biggest performers recently.

Cleveland-Cliffs jumped by 20.67 percent week-on-week to end Friday’s trading at $11.44 versus the $9.48 on July 18, as investors took heart from news that it was mulling over the sale of its idle assets for as much as billions of dollars.

According to a report by Manufacturing Drive, Cleveland-Cliffs Inc. (NYSE:CLF) is in talks with its investment adviser JPMorgan for the sale of its mills and other assets to potential buyers, including data center developers, as part of its effort to lower its overall debt and rightsize operations.

“These sites…are all uniquely positioned geographically and have what data center developers are looking for—access to power and water with the infrastructure already in place,” Cleveland-Cliffs Inc. (NYSE:CLF) CFO Celso Goncalves Jr. was quoted as saying.

In the second quarter of the year, Cleveland-Cliffs Inc. (NYSE:CLF) swung to a net loss attributable to shareholders of $483 million from a $9 million attributable net income in the same period last year. This put its six-month net loss at $978 million, higher by 1,404 percent from the $65 million in the same period last year.

Revenues for the quarter stood at $4.934 billion, lower by 3.1 percent than the $5.092 billion year-on-year. Revenues for the first semester of the year, however, declined by 7 percent to $9.563 billion from $10.291 billion year-on-year.

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