ArcelorMittal's potential acquisition of Ilva would support EU coil prices, Jefferies says

If the latest bid by ArcelorMittal and Marcegaglia for Italian steelmaker Ilva is successful, it would support coil prices in Europe, according to investment bank Jefferies.

ArcelorMittal is bidding for Ilva Taranto in a consortium together with Italian re-roller Marcegaglia and bank Intesa Sanpaolo. It has submitted an additional bid of €1.60 billion ($1.72 billion) for the Italian steelmaker Ilva Taranto, on top of the €2.30 billion ($2.47 billion) investment proposed on March 6.
“While ArcelorMittal has noted that they view the acquisition of Ilva as a value accretive rather than solely defensive move, we are hopeful ArcelorMittal's acquisition of Ilva could drive a notable improvement in regional price discipline and price realisation,” according to Jefferies.

ArcelorMittal’s market share in the European flat steel market should rise...

Published

Maria Tanatar

March 20, 2017

14:14 GMT

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