Lakshmi Mittal-led ArcelorMittal, the world’s largest steelmaker, announced plans to raise $3 bn in fresh capital in a bid to reduce debt in the face of weakness in the steel and mining sectors. The company said it would also receive an additional $1 bn from the sale of its 35% stake in Gestamp, which manufactures specialized, automotive stee.

“This capital raise, combined with the sale of our minority shareholding in Gestamp, will accelerate the company’s debt reduction plans and enable us to reduce net debt to less than $12 billion,” Arcelor Mittal CEO Lakshmi Mittal said in a statement. The Mittal family, which owns around 37% in the steelmaker, is expected to subscribe to its share of the capital call. ArcelorMittal faces almost $15 bn of bond repayments over the coming six years.