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| Version 1 | Version 2 |
|---|---|
| Tata poised for £5bn Corus offer | Tata poised for £5bn Corus offer |
| (about 4 hours later) | |
| India's Tata Steel is close to launching a £5bn ($9.3bn) takeover bid for Anglo-Dutch steel firm Corus, the BBC has learned. | India's Tata Steel is close to launching a £5bn ($9.3bn) takeover bid for Anglo-Dutch steel firm Corus, the BBC has learned. |
| If successful it would be the largest Indian takeover of a foreign company and create the world's fifth-largest steel firm. | If successful it would be the largest Indian takeover of a foreign company and create the world's fifth-largest steel firm. |
| Last week, Tata Steel, part of the Tata conglomerate, said it was looking at potential takeovers "including Corus". | Last week, Tata Steel, part of the Tata conglomerate, said it was looking at potential takeovers "including Corus". |
| Tata boss Ratan Tata is in London this week to meet Prime Minister Tony Blair. | |
| His visit as part of an Indian business delegation coincides with the arrival of Indian Prime Minister Manmohan Singh for an Indo-UK summit. | |
| News of a potential Corus bid came as the Sunday Telegraph reported Tata had lined up a £3.5bn ($6.5bn) financing deal to make the acquisition. | News of a potential Corus bid came as the Sunday Telegraph reported Tata had lined up a £3.5bn ($6.5bn) financing deal to make the acquisition. |
| Consolidation | Consolidation |
| Rapid economic growth in developing countries including China and India is creating huge demand for steel and many firms are looking to add to their steel-making assets. | Rapid economic growth in developing countries including China and India is creating huge demand for steel and many firms are looking to add to their steel-making assets. |
| But as Chinese steel production soars, other manufacturers are trying to consolidate so they can cut costs and stay competitive. | But as Chinese steel production soars, other manufacturers are trying to consolidate so they can cut costs and stay competitive. |
| Earlier this year Mittal Steel bought rival Arcelor for $34bn, creating the world's biggest steel maker. | Earlier this year Mittal Steel bought rival Arcelor for $34bn, creating the world's biggest steel maker. |
| Tata Steel is a small steel producer by global standards, but has the backing of the giant Tata Group, one of India's largest companies with interests as diverse as carmaking, communications, tea and oil. | Tata Steel is a small steel producer by global standards, but has the backing of the giant Tata Group, one of India's largest companies with interests as diverse as carmaking, communications, tea and oil. |
| Corus was created after British Steel merged with Dutch firm Hoogovens in 1999 and has shed thousands of jobs in recent years. | Corus was created after British Steel merged with Dutch firm Hoogovens in 1999 and has shed thousands of jobs in recent years. |
| It employs 47,300 people worldwide and reported a pre-tax profit of £580m last year. | It employs 47,300 people worldwide and reported a pre-tax profit of £580m last year. |