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A logo is seen on the roof of the ArcelorMittal building.
Negotiations are back on the table for South Africa’s steel giant. Now, after a tense standoff last year, ArcelorMittal South Africa (AMSA) and the Industrial Development Corporation (IDC) have officially resumed talks regarding a potential state-led buyout.
Discussions hit a wall last year after AMSA rejected an R8,5 billion offer, citing disagreements over valuation and strategic positioning.
SABC News understands that several companies have now expressed interest in supporting the IDC’s acquisition, to provide the financial support needed to bridge the previous valuation gap.
Industrial Development Corporation Spokesperson, Tshepo Bodibe, “The Industrial Development Corporation (IDC) has taken note of ArcelorMittal South Africa’s (AMSA) latest Further Cautionary Announcement. The IDC remains in ongoing discussions with AMSA, the ArcelorMittal Group, and government partners, including the DTIC, to find a lasting solution to the steelmaker’s current difficulties and protect South Africa’s vital steel manufacturing capabilities.”
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