July 26, 2013 / 6:16 AM / 4 years ago

ThyssenKrupp tries to salvage Steel Americas sale to CSN -WSJ

FRANKFURT, July 26 (Reuters) - German steelmaker ThyssenKrupp is trying to salvage a deal to sell its loss-making Steel Americas division to Brazil’s Companhia Siderurgica Nacional (CSN) after talks hit a snag over the price, the Wall Street Journal reported online on Friday.

Citing people familiar with matter, the paper reported that ThyssenKrupp wants CSN to raise its roughly $1.5 billion bid for a steel mill in Alabama, since ArcelorMittal and Nippon Steel had offered $2 billion.

If CSN doesn’t get the Alabama plant it could jeopardise an agreement in principle reached earlier this month regarding the sale of ThyssenKrupp’s Brazilian semi-finished slab mill CSA, the Journal reported.

According to the paper, ThyssenKrupp has agreed to lower its stake in CSA to 33 percent or less, while CSN acquires an interest of 33 percent or more. Brazilian iron ore miner Vale would at least retain its current 27 percent holding.

A spokesman for ThyssenKrupp, which invested 12 billion euros ($15.88 billion) to build the two steel plants, said the company was still in intensive talks over the disposals with a leading bidder and aimed to reach a deal promptly.

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