The industrial group thyssenkrupp no longer wants to sell its steel division to its Indian competitor Jindal.
According to a statement, the two companies have decided to put discussions that have been ongoing since September last year on hold. The reorganization of the segment should be consistently pushed forward using our own resources in order to make the steel division successful and profitable, it was said in Essen. In the medium term, thyssenkrupp wants to further divest itself of the steel business.
The reasons for the decision to no longer negotiate with the Indian company about the steel division are, on the one hand, the better conditions for steel manufacturers in Europe and, on the other hand, the progress in restructuring the division.
“The European Union has recognized the great importance of steel production for the resilience of industrial value chains and has expressed the will to better protect the European steel industry from global overcapacity and dumping,” said the statement on Saturday.
The EU also wants to further strengthen the switch to climate-friendly steel production. “We have always said: Steel is the future. And a sustainable business is a valuable business,” said thyssenkrupp boss Miguel López, according to the statement. “Now that we have reached an agreement in principle within our own company, with the collective bargaining partners and with politicians in Germany and Europe, the conditions for the profitable continuation of thyssenkrupp Steel are better than they have been for a long time.”
Against this background, the declared goal in the medium term remains the independence of thyssenkrupp Steel Europe with a possible minority stake by thyssenkrupp AG. Jindal was a constructive and committed partner throughout the discussions. “However, we have jointly decided to suspend the negotiations for the time being.”
thyssenkrupp and Jindal Steel announced in mid-September that the family-run Indian group wanted to buy the steel division and had already made a non-binding offer. When presenting the annual figures on December 9th, the board member responsible for company takeovers and sales, Volkmar Dinstuhl, said that the offer was aimed at a majority takeover.
/eg/DP/eg
FOOD (dpa-AFX)
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