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Tata turned down £100m offer for loss-making steel business, claims buyer

July 16,2016 23:09

Tata walked away from a £100m-plus offer for its entire loss-making UK steel business from a British buyer in favour of a merger with a German rival, The Sunday Telegraph can reveal. Sources close to the situation claim that rather than a token offer ...and more »


Tata walked away from a £100m-plus offer for its entire loss-making UK steel business from a British buyer in favour of a merger with a German rival, The Sunday Telegraph can reveal.
Sources close to the situation claim that rather than a token offer for the UK steel-making business, based around the Port Talbot plant, buyer Liberty was offering “significantly more than £100m” to take the assets of Tata’s hands.
But 10 days ago India-based Tata turned down the offer, in favour of pursuing a possible joint venture with German rival ThyssenKrupp. 
Industry sources claim commodities house Liberty was on the verge of buying the business, with final terms being hammered out in meetings with Tata that went on until just days before the board met in Mumbai on July 8.
However, after the board meeting, Tata made a dramatic U-turn and announced it was in talks with its German rival about a tie-up for its strip steel operations, with Tata’s speciality steel units in South Yorkshire and Hartlepool being sold separately. Bidders for these are thought to include Liberty and Albion Steel.

Steel,Business,Manufacturing industry,Energy industry,Standard

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