Thyssenkrupp, a German industrial group, is actively negotiating with India's Jindal Steel International, which has expressed interest in its steel business, Thyssenkrupp Steel Europe (TKSE).
Last month, Jindal Steel made a preliminary offer to buy TKSE, Europe's second-largest steel producer. The financial terms of the offer were not disclosed. Following this, Thyssenkrupp announced that it would buy 20% of TKSE from Czech billionaire Daniel Krzetinski's EP Group and focus on negotiations with Jindal Steel.
"Negotiations are ongoing, and very active," Thyssenkrupp chief executive Officer Miguel Lopez told Reuters on Monday. "In the coming months, we will see what result we will achieve."
He noted that Thyssenkrupp is carefully evaluating the Indian company's proposal to invest in a green steel production facility.
Earlier, Jindal Steel stated that its proposal would allow it to maintain steel production in Germany, in particular, to complete the construction of the Thyssenkrupp plant for the production of "green" steel in Duisburg. In addition, the Indian company has promised investments worth more than 2 billion euros.
Thyssenkrupp has been looking for an opportunity to sell the steel business for a long time. In April, she announced her intention to cut jobs and reduce production capacity in this division in response to difficult market conditions.
Thyssenkrupp shares are losing 18% in price on Monday. Since the beginning of this year, their cost has increased 2.5 times.
