Steel giant Mittal has finally won its five-month long battle to take over Arcelor and create the world’s biggest steelmaker after investors backed the deal and Severstal, the Russian rival, bowed out.
Shareholders of Arcelor, Europe’s largest steelmaker, rejected the current Russian offer at a packed meeting in Luxembourg yesterday, paving the way for the €26.8bn (£19bn) cash-and-share offer from Mittal and provoking a backlash from Russian MPs in the process.
Almost 58pc of Arcelor shares were cast against the Severstal offer - 8pc above the minimum needed to reject the Russian bid. Holders of more than 60pc of the Arcelor shares attended the meeting and 96pc of them opposed the deal with Severstal.
Severstal conceded defeat after earlier hinting it might come back with an improved offer. The company said the Arcelor deal had been “terminated” but promised to remain a “vibrant player” in the market. It will pick up €140m in compensation from Arcelor for being dumped as a suitor.
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