Tata Steel in talks with Thysssenkrupp for tie-up

 Tata Steel has stated that it is still in talks with Thysssenkrupp for a potential joint venture and that it continues to pursue its consolidation strategy in Europe.

“Tata Steel continues to pursue its European consolidation strategy and the talks with Thysssenkrupp (as announced on July 8, 2016) for a potential joint venture of its European steel business are currently ongoing and progressing. However, there can be no guarantee that these talks will result in a definitive agreement between the parties,” the Indian steel company said in a communique to the exchanges.

Recent media reports had suggested that the sale of Tata Steel’s UK operations and a potential joint venture with Thysssenkrupp for European operations could be put under the backburner due to the ouster of Cyrus Mistry as chairman of Tata Sons.

“Tata Steel is also deeply engaged with all relevant stakeholders in the UK to find a structural solution and a way forward with regard to the affordability of the legacy pension scheme liabilities,” the company said.