ArcelorMittal offer for Uttam Galva may get delayed
Thursday, 29 Oct 2009
It is reported that ArcelorMittal's bid to acquire additional stake in Uttam Galva through an open offer may get delayed in the wake of pending regulatory clearances even as it aims to complete the deal by mid-December.
Asked if the proposed open offer to acquire 29.4% additional stake in the Indian firm could be delayed, Mr L N Mittal CEO of ArcelorMittal said that "The process for Uttam Galva is already on. We are seeking different regulatory approvals. We hope this process to be completed by mid-December of this year. There could be a slight delay in getting the approval from SEBI, so there could be few days delay in starting the open offer but we are still on our target to complete this transaction by middle of December."
He added that the deal is likely to be discussed in the Foreign Investment Promotion Board meeting scheduled for Friday. The Board recommends overseas investments in India.
The world's largest steel maker had last month entered into a partnership agreement with Uttam Galva and said it would buy 35% stake in the firm through a mixed route of share purchase from existing promoters and open offer.
