Posted on 07 May 2008
ArcelorMittal, the world's biggest steel maker, is eyeing a
stake in
Lakshmi Mittal, the Indian billionaire and chief executive
of ArcelorMittal, proposed buying a near 25-percent stake in Angang in a
private meeting with Angang's chairman Zhang Xiaogang two months ago, the
newspaper reported.
The deal could be worth at least five billion dollars
according to Angang's current market valuation, although financial terms were
not discussed, it said.
"I had an informal discussion with Mr Zhang about
various possibilities. As part of this, I tossed around a number of
ideas," the London-based newspaper quoted Mittal as saying.
Zhang turned down Mittal's proposal but told the newspaper
that he would be interested in allowing the Luxembourg-based company a one to
two percent holding in his company, the report said.
"We (Angang and ArcelorMittal) can work together. We
have similar ideas," said Zhang, adding the two companies could possibly
take an equity stake in a standalone production venture, according to the
report.
Angang, listed in
ArcelorMittal, which has long sought to expand influence in
The deal is still awaiting approval by the Chinese government, who are yet to permit a foreign owner to take control of a large domestic producer.
