Canada's last independent steel producer, Stelco, confirmed in a press release on Friday that it is in preliminary discussions with third parties for a possible merger or sale in light of the ongoing consolidation in the steel industry.
The parties interested in purchasing a portion, if not all, of Stelco, include Russia's Severstal and Evraz Group and India's Tata Steel, which most recently bought out steelmaker Corus Group. The talks are said to be at very preliminary stages.
The company said there have been no discussions on the material terms of any transaction and there is no assurance that a transaction will result from these discussions.
Stelco, one of Canada's largest steel companies, produces hot rolled, cold rolled, coated sheet and bar products.