Corus could walk away from CSN takeover

Corus could walk away from CSN takeover

Today's reports point out that the giant Anglo-Dutch steel maker Corus could be examining the situation to walk away from the takeover agreement of CSN. The deal, signed back in July this year, covers a $4.3 billion takeover of the Brazilian steelmaker by Corus. Obviously one of the main reasons behind such a possible U-turn could be the worsening of the Brazilian economy. Moreover the possibility of a left-wing government taking charge in Brazil and risks involved with potential nationalisation of important industrial plants do worry Corus as well. Company top officials were quoted saying "What we have so far is a non-binding agreement. We could walk away from this if we felt the deal was not in our interests". Corus is expected to announce half-year results on Thursday and also expected to elaborate on the issue. The shareholders of both companies are scheduled to vote on the agreement by early next year, and the takeover documents to be issued in November. For the related article on Corus&CSN merger please click here.