Thyssenkrupp may reach an agreement in principle this month to merge its European steel business with that of Tata Steel, the group said on Monday, September 11, adding talks were constructive and had entered the final stretch.
A spokeswoman for Thyssenkrupp said the companies were close to a memorandum of understanding, paving the way for a detailed look at one another’s books and detailed negotiations before creating the second-largest steelmaker in Europe.
Thyssenkrupp CEO Heinrich Hiesinger is under pressure to deliver the planned combination, particularly following Tata Steel’s deal to cut its pension liabilities, after talks have dragged on for a year and a half.
Hiesinger favors a steel joint venture, saying this is the best option to eliminate overcapacities in the volatile steel sector but drawing opposition from labor representatives, who fear thousands of job cuts.
“The management board is currently in talks over strategic options,” a spokeswoman for Thyssenkrupp said, adding a meeting of the supervisory board initially scheduled for September 12 had been moved back to ensure it was adequately informed.
Full Content: Financial Times
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
DirecTV and Disney Resolve Dispute, Restore Programming for Subscribers
Sep 15, 2024 by
CPI
UK Antitrust Authority Raises Concerns Over Vodafone-Three Merger
Sep 15, 2024 by
CPI
Brazilian Supreme Court Lifts Freeze on Starlink Accounts, Transfers $3.3 Million to National Treasury
Sep 15, 2024 by
CPI
Steptoe Expands Antitrust Practice with Key London Hire
Sep 15, 2024 by
CPI
Instant Ad Auctions at the Heart of Google’s Federal Monopoly Case
Sep 15, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Canada & Mexico
Sep 3, 2024 by
CPI
Competitive Convergence: Mexico’s 30-Year Quest for Antitrust Parity with its Northern Neighbor
Sep 3, 2024 by
Francisco Javier Núñez Melgoza
Competition and Digital Markets in North America: A Comparative Study of Antitrust Investigations in Mexico and the United States
Sep 3, 2024 by
Julio Garcia
Recent Antitrust Development in Mexico: COFECE’s Preliminary Report on Amazon and Mercado Libre
Sep 3, 2024 by
Alejandra Palacios Prieto
The Cost of Making COFECE Disappear
Sep 3, 2024 by
Mateo Fernández