Cleveland: The Chief Executive of Luxembourg-based Arcelor Steel Authority said that the company would consider Mittal Steel Co's unsolicited takeover bid if the offer is large enough and is made in cash.
Guy Dolle, CEO of Luxemborg based company, Arcelor said at a steel industry exposition in Cleveland on Wednesday that Arcelor's opposition to the Mittal bid is not absolute, reiterating what Arcelor Chairman Joseph Kinsch told shareholders on Friday in Europe.
"Arcelor wants the offer in cash to eliminate uncertainty. What is the value of a Mittal Steel share? That is the question," said Dolle.
"Everything has a price. In the end the shareholders decide if they would want to buy shares in the new company or not." he added.
Laxmi Mittal who tops the list of world’s richest men, heads Netherlands based Mittal Steels, which at present stands as the world's largest steel company.
It closest rival company, Arcelor had asked shareholders on January 29 not to tender their shares in the hostile bid which Mittal Steel had announced two days earlier.In this bid Arcelor shares were valued at €28.21 each. The announced offer was one-fourth cash and the rest in stock.
Mittal Steel said the deal would create the world's first 100 million ton-plus steel producer, with a market capitalization of $40 billion.
While Luxembourg government, which holds maximum number of shares in Arcelor, voiced concerns about the merger, citing Mittal Steel's failure to consult with Luxembourg or Arcelor's management.
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