This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6068244.stm
The article has changed 18 times. There is an RSS feed of changes available.
| Version 2 | Version 3 |
|---|---|
| Corus accepts Tata's takeover bid | Corus accepts Tata's takeover bid |
| (40 minutes later) | |
| Anglo-Dutch steel firm Corus has accepted a £4.1bn ($7.7bn) takeover offer from Indian rival Tata Steel. | Anglo-Dutch steel firm Corus has accepted a £4.1bn ($7.7bn) takeover offer from Indian rival Tata Steel. |
| BBC business editor Robert Peston said the final details were now being agreed and a formal announcement was expected early on Friday. | |
| The deal is the largest Indian takeover of a foreign company, and will create the world's fifth-largest steel group. | The deal is the largest Indian takeover of a foreign company, and will create the world's fifth-largest steel group. |
| Corus, which employs 47,300 worldwide and 24,000 in the UK, has declined to comment on the news. | Corus, which employs 47,300 worldwide and 24,000 in the UK, has declined to comment on the news. |
| Changing of the guard | Changing of the guard |
| Corus was formed by a 1999 merger between British Steel and the Dutch group Hoogovens. | Corus was formed by a 1999 merger between British Steel and the Dutch group Hoogovens. |
| In 2005, Tata Steel was only the world's 56th biggest steel producer, and its takeover of Corus represents its first expansion outside of Asia. | In 2005, Tata Steel was only the world's 56th biggest steel producer, and its takeover of Corus represents its first expansion outside of Asia. |
| "It's the changing of the guard on a global scale," said our correspondent. | "It's the changing of the guard on a global scale," said our correspondent. |
| "Once upon a time, Corus was called British Steel and was a sprawling British industry. Now it's to be taken over by an Indian company." | "Once upon a time, Corus was called British Steel and was a sprawling British industry. Now it's to be taken over by an Indian company." |
| Increasing steel consolidation | Increasing steel consolidation |
| Analysts have broadly welcomed the deal, but warned that there are risks. | Analysts have broadly welcomed the deal, but warned that there are risks. |
| The biggest one is said to be that if there is an econoimc downturn over the coming years, Tata Steel might have difficultly paying off the debts it is taking on to buy Corus. | |
| In those circumstances there might be dangers for Corus' pension fund, which has 166,000 members in the UK. | In those circumstances there might be dangers for Corus' pension fund, which has 166,000 members in the UK. |
| The takeover comes amid growing consolidation in the global steel industry. | The takeover comes amid growing consolidation in the global steel industry. |
| With both prices and demand soaring this year, led by strong demand from China, Dutch firm Mittal Steel bought European rival Arcelor for $34bn back in the summer. | With both prices and demand soaring this year, led by strong demand from China, Dutch firm Mittal Steel bought European rival Arcelor for $34bn back in the summer. |
| Tata Steel is part of the wider Tata group, which has business interests ranging from carmaking to Tetley's tea. |