New Delhi: Anglo-Dutch steel giant Corus has adjourned the EGM of its shareholders to decide on the takeover bids and the court meeting - scheduled for December 4 to decide on Tata Steel's offer - till December 20 to give "additional time" to Brazilian firm CSN.
"The Board of Corus has decided it is in the best interests of Corus shareholders to allow CSN some additional time to satisfy its pre-conditions and to determine whether it will put forward a formal offer," Corus informed London Stock Exchange on Tuesday.
It has completed its due-diligence on Corus and is expected to announce a firm offer later this week.
This comes as a follow up to CSN's bid of 475 pence per share in cash to acquire the London-based steel company as against Tata Steel's bid of 455 pence per share.
CSN is in the process of studying the books of Corus to enable it to launch a formal bid.
"Since the CSN announcement, Corus has made due diligence information available to CSN and has also made senior management available to expedite this process with a view to enabling CSN to satisfy its pre-conditions as quickly as possible. However, to date, no formal offer has been received from or announced by CSN," Corus said.
"In light of this, the Board intends to propose resolutions to shareholders at each of the EGM and the Court Meeting convened for 4 December 2006 to adjourn those meetings until 20 December 2006," it said.
CSN had earlier said its formal offer would be subject to certain pre-conditions, which include completion of due-diligence, finalisation of financing arrangements and a recommendations from the Corus Board.
The company said it had postponed the meetings on its own and CSN was not aware of it and added that there could be no certainty that an offer would be made by CSN, despite giving it more time.
CSN's Chief Executive Benjamin Steinbruch, who owns 45 per cent of the Brazilian firm, had earlier told Financial Times that Corus was being "fair and professional" as a special team from the Brazilian firm met in London to study its accounts.
"We are confident that we will be able to move to a formal bid," Steinbruch was quoted as saying.
"We would like to be prepared before the Corus EGM," he had said.
Corus said that if circumstances change between the time of their announcement and the date for the proposed EGM and court meeting, it would drop the move to seek adjournment of the meeting till December 20.
(With inputs from PTI)
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