Salzgitter will weigh a potential takeover offer from a major shareholder and a partner, the German steelmaker has said.
Salzgitter said in an announcement that it will review a potential takeover offer from industrial conglomerate GP Günter Papenburg Aktiengesellschaft and partner TSR Recycling, if the companies are able to acquire more than 45% of the company’s stock.
According to Bloomberg, the company is Salzgitter’s second-largest investor and owns 25% of its shares, as of the end of 2023.
Salzgitter said it has not received the range of a potential offer price.
Prior to the announcement, Salzgitter’s shares had slumped 46% over the preceding 12 months. Media reports have cited Germany’s industrial downturn combined with a flood of cheap Chinese exports across global markets as being responsible for the steelmaker’s lower earnings.
Source: Bloomberg