Taiwan to sell 3.5 percent stake in China Steel Corp
According to a statement made by
Taiwan's Minister of Economic Affairs Ho Mei-yueh, the Taiwanese government is planning to sell a 3.5% stake in
China Steel Corp. (
CSC) worth NT$11.6 billion ($347 million) by the end of this year, with the aim of reducing its budget deficit.
The legislative Yuan requested the government not to reduce its 23.5% shareholding in the nation's largest steel producer to lower than 20%. However, that obstacle may be overcome after legislative election on December 11, 2004.
Minister Ho added that after the December elections, the Cabinet may attempt to persuade the legislature to agree to sell the remaining 20% stake in
CSC.
In the quarter ended September 30, 2004,
CSC saw a 52% increase in profit up to NT 14.3 billion ($427 million) from NT9.4 billion ($281 million) one year ago.
CSC sells more than a third of its exports to
China.