German Chancellor Friedrich Merz will discuss a potential takeover of Thyssenkrupp steel by Jindal with Indian authorities during his visit to the country this week, according to German media reports. Any sale of a German steel producer to an Indian group can be made gradually, in tranches.
Last week, Reuters, citing three people familiar with the negotiations, reported that tk's steel division may initially transfer 60% of Jindal's shares. This interim step would give thyssenkrupp more time to pay off pension debts, Kallanish notes.
The German group did not comment on the interim stages of the negotiations, but confirmed that Jindal is in the process of due diligence.
India is going to order submarines from thyssenkrupp's marine industry division, which became a key topic of discussion during Merz's visit.
Earlier, the Chancellor met with representatives of the tk Steel workforce and called steel a "key industry" for Germany.
Author: Christian Kel Germany
Kallanish.com
