Brazil’s CSN ready for ‘bidding war’
The company has already raised $ 7.5b of non-recourse loan through Barclays, Goldman Sachs and BNP Paribus.
By TNN |
MUMBAI: Brazilian steel major Companhia Siderurgica Nacional (CSN) has indicated that it is ready for a ‘bidding war’ to take control of Corus, the Anglo-Dutch steelmaker for which India’s Tata Steel made the first bid.
“We have been offered financing (from the banks) for much more than 100pc of the proposed purchase value," Otavio de Garcia Lazcano CSN’s finance director has been quoted as saying in the Daily Telegraph.
The company has already raised $ 7.5b of non-recourse loan through Barclays, Goldman Sachs and BNP Paribus and will infuse another $1.8b from its own resources. CSN had made a counter-bid of 475 pence per share for Corus last week, upping Tata Steel’s initial offer of 455 pence.
This could be bad news for Tata Steel, which has remained tight-lipped on its plans since the CSN announcement last week. The board of the Indian company is expected to meet on Thursday to take up the issue. Meanwhile, Tata Steel shares reversed Monday’s losses to end 2.6% higher at Rs 475.45 on Tuesday.
“We have been offered financing (from the banks) for much more than 100pc of the proposed purchase value," Otavio de Garcia Lazcano CSN’s finance director has been quoted as saying in the Daily Telegraph.
The company has already raised $ 7.5b of non-recourse loan through Barclays, Goldman Sachs and BNP Paribus and will infuse another $1.8b from its own resources. CSN had made a counter-bid of 475 pence per share for Corus last week, upping Tata Steel’s initial offer of 455 pence.
This could be bad news for Tata Steel, which has remained tight-lipped on its plans since the CSN announcement last week. The board of the Indian company is expected to meet on Thursday to take up the issue. Meanwhile, Tata Steel shares reversed Monday’s losses to end 2.6% higher at Rs 475.45 on Tuesday.
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