In constructive discussions with German group, says Tata Steel

Mumbai, March 6 (IANS) Dismissing British media reports that Tata Steel UK may scrap merger talks with German group ThyssenKrupp, the steel maker on Monday said it is “in constructive discussions” with the German conglomerate.

“Tata Steel would like to inform that it continues to be engaged and is in constructive discussions with ThyssenKrupp regarding a potential merger of the steel businesses of the respective companies in Europe,” the steel producer said in a regulatory filing to BSE.

It however also said “until a definitive agreement” is reached, there can be “no assurances that these discussions will result in a transaction”.

The Sunday Times newspaper on Sunday said that Tata Steel is considering a “daring plan to break off a planned merger” of its European business with those of the German conglomerate.

Such a deal with the German steel giant, talks on which were announced by Tatas last year, could lead to the formation of a European steel behemoth with blast furnaces in Wales, the Netherlands and Germany.

–IANS

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