Naveen Jindal group co bids for Thyssenkrupp steel unit

NEW DELHI: Jindal Steel International, the global steel arm of the Naveen Jindal Group, said on Tuesday that it had made a non-binding offer to acquire the steel assets of Thyssenkrupp Steel Europe (TKSE), Germany's largest flat steel manufacturer.

The company said in a statement that it will enter into discussions with Thyssenkrupp AG to acquire its steel segment TKSE, adding that it had submitted a non-binding offer for the company. No financial details were announced.

Thyssenkrupp AG confirmed that it had received a non-binding, indicative offer from Jindal Steel International for the purchase of TKSE. "The executive board of Thyssenkrupp AG will carefully review this offer, paying particular attention to its economic viability, continuation of green transformation and employment at our steel locations," said a company statement.

Jindal Steel said it promises a combination of financial strength, global steel expertise and a clear vision for decarbonisation as well as competitive steel production in Germany, adding that it looks forward to a constructive dialogue with thyssenkrupp AG and its employee representatives. "We believe in the future of green steel production in Germany and Europe," said Narendra Misra, director of European Operations of Jindal. "Our goal is to preserve and grow Thyssenkrupp's 200-year industrial legacy and help transform it into Europe's largest integrated low emission steelmaker," Misra added.

Without sharing any financial details, Jindal Steel International said the proposal includes completing a hydrogen-ready DRI plant in Oman by 2027, along with investing over 2 billion euro in new electric-arc furnace capacity in Germany. It also intends to supply iron ore from its Cameroon mines to feed the Oman and Duisburg DRI facility, creating a mine-to-metal value chain, the company said.

The proposal, the company added, would safeguard steel production in Germany and support downstream industries, such as automotive. The Naveen Jindal-led group said it generated around 12 billion euro in revenue in FY25 with a 22% EBITDA margin.

Thyssenkrupp Steel is one of the leading suppliers of high grade flat steel and has 27,000 employees. It produces about 11 million tonnes of crude steel per year, according to details provided by the company. A news agency said the German submarines-to-car parts group is seeking to partially divest most of its businesses in a bid to become leaner and more focused. The agency said that a sale to Jindal Steel International would be a success for Thyssenkrupp after previous attempts to divest TKSE failed, with pension liabilities of around 2.7 billion euros emerging as a major hurdle.