Mittal Steel says new Arcelor bid fully financed

LONDON, May 19 (Reuters) Mittal Steel said on Friday its increased offer for rival steelmaker Arcelor was fully financed and should not affect its credit ratings.

''The transaction is fully financed, was financed last night,'' Chief Financial Officer Aditya Mittal told a conference call. ''We have 14 banks that are participating in this financing.'' ''We also believe that the additional cash that we are offering Arcelor shareholders does not impact our ratings.'' Chief Executive Lakshmi Mittal also said he expected a ''satisfactory outcome'' on winning European regulatory clearance for the bid, although it may require some divestments.

REUTERS CS RK1740