Brazilian steelmaker Companhia Siderurgica Nacional (CSN) said this week it has not yet hired a financial institution to help sell its shares of flats producer Usiminas.
CSN was also expected to close a deal with creditors Banco do Brasil and Caixa Economica Federal to extend existing debt. CSN needs to cut debt while divesting from non-core assets, and CSN confirmed to SteelOrbis that divesting from Usiminas is one possible strategy.
CSN has had trouble appointing representatives for the board of Usiminas, and in November 2017, Brazilian securities exchange commission, CVM, rejected a CSN request to “force” Ternium to sell stocks.
According to a document filing by Usiminas at the time, CVM said the arrival of the Ternium Techint group as a shareholder in the company doesn’t necessarily demand the sale of stocks. CSN argued Ternium would have certain advantage as a shareholder, but CVM did not agree.