Arcelor Mittal eyes Sesa Goa: HT
04 January 2007
According to a report in the Hindustan Times, the world''s largest steel maker, L N Mittal''s Arcelor Mittal, has submitted a non-binding bid for a controlling stake in iron ore exporter Sesa Goa Ltd.
The paper says Japan''s Mitsui & Co. which holds a 51-per cent stake in Sesa Goa, plans to sell its holding. An earlier report last month had said that Mitsui had appointed JM Morgan Stanley as advisor to close the deal.
The report also says that Vedanta Group''s Sterlite Industries Ltd and another iron ore exporter MSPL, too, have submitted rival bids for Goan company, while in the earlier report, Tata Steel Ltd., Jindal Steel & Power Ltd and Essar Steel Ltd had also been linked as potential buyers for Sesa Goa.
The Hindustan Times report further says that the bids have valued the company at between Rs7,500 crore and Rs8,500 crore and any potential buyer would have to be prepared to pay Rs5,500 crore to Rs6,000 crore for the 51-per cent stake in the company.