The National Securities Market Commission (CNMV) has suspended Acerinox's listing on the stock market due to negotiations on a possible merger with Aperam, a Luxembourg-based steel company that spun off from ArcelorMittal, the world's largest steel company, although it remains controlled by the Mittal Indian family.
Aperam itself has been the one that has confirmed through a statement the existence of "initial conversations with Acerinox regarding a possible merger". However, it has indicated that as of today there is no firm agreement on the scope, structure or terms of the possible operation.
The negotiation would be carried out as equals according to the value of both companies. Acerinox, which has appreciated by around 7% so far this year, has a market capitalization of 3,300 million euros, while Aperam is estimated to be worth around 3,100 million.
The operation requires the agreement of the Mittal families, who control 40% of Aperam, and March, the main shareholder of Acerinox through an investment vehicle that owns 18% of the Spanish company.
As they are two of the main European steel companies, any agreement must be validated by the European Union regulator, which two years ago already vetoed the creation of a 'joint venture' between Tata Steel and ThyssenKrupp in the European market.
