In another business development Brazilian steelmaker CSN said it had agreed to buy Anglo-Dutch rival Corus for 4.9 billion pounds ($9.6 billion), trumping an offer from India’s Tata Steel announced only hours before.
Companhia Siderurgica Nacional said it would pay 515 pence a share in cash for each Corus share, topping Tata Steel’s offer of 500 pence a share.
[10 pence = 8.8 Indian Rupee[INR]]
Corus shares leapt more than 5 per cent to a new high of 527 pence on hopes the bid battle would yield an even higher offer.
Tata Steel, which kick-started the battle with a 455-pence-a-share offer, said it was considering its position.
A takeover of Corus by either CSN or Tata Steel would create the world’s fifth biggest steelmaker and would be the latest in the industry as companies look for global reach, economies of scale and to secure valuable raw material supplies.
Earlier this year Dutch-based Mittal Steel bought Luxembourg’s Arcelor to create Mittal Arcelor, the world’s biggest steelmaker.
Those who are not knowing what’ s corus and csn can google to know them 🙂
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