GSHL gives up on IDC acquisition-REVISED

GSHL gives up on IDC acquisition-REVISED

Turkish Isbank announced yesterday that Global Steel Holdings Limited (GSHL), an affiliate of Mittal family-owned Ispat Industries, backed out of an agreement to acquire Isbank's 54.68% stake in Turkish steel producer Izmir Demir Celik (IDC). As reported by SteelOrbis in May 2005, GSHL agreed with Turkey's Isbank to buy its 54.68 percent stake in IDC. According to the deal, GSHL would pay $78.45 million for the stake. However, GSHL informed Isbank that it had decided to annul the agreement. No reasonable cause was given, Isbank said. SteelOrbis mistakenly mentioned in yesterday's article that GSHL was a unit of Mittal Steel. However, the company is actually a unit of Mittal family-owned Ispat Industries Ltd., founded by Mr M.L. Mittal. SteelOrbis apologizes to its members for the inconvenience caused.