LNM to increase shares in Iscor

LNM to increase shares in Iscor

A cautionary announcement by South African steel producer Iscor on Friday stated that LNM Holding, the second largest steel producer in the world, has made progress in raising its shares in the company to 52% by a business assistance agreement. Accordingly, Iscor announced that LNM which currently holds just more than 47% stake in Iscor, is only entitled to gain a further 10% of Iscor if it can reduce Iscor's costs by Rand 700 million (approx. $110 million) by the end of 2004. However, this acquisition depends on government's approval.