Krivorozhstal tender creates disappointment

Krivorozhstal tender creates disappointment

The tender held for the sale of 93.02% share in Ukrainian steel mill Krivorozhstal ended yesterday. The State Property Fund, rejecting the bid of $1.5 billion submitted by LNM and US Steel consortium and bid of $1.2 billion submitted by Russian mill Severstal, sold the mill to Ukrainian firm Investment and Metallurgical Union, which submitted a bid of $800 million. It was previously announced that domestic bidders would be preferred in the tender as there was the condition of the tender, stating that a foreign bidder should be consumer of Ukrainian coke for the past three years. Another Ukrainian firm in the tender was Industrial Union of Donbass, which submitted a bid of $750 million. The LNM Group and US Steel have recently announced that they are disappointed with the result of the tender. LNM Group stated that, Ukraine has missed a great opportunity by ignoring foreign bidders.