(Adds comments on steel joint venture, context)
FRANKFURT, March 27 (Reuters) - Salzgitter is
not in discussions with Thyssenkrupp about a steel
merger, its chief executive said, responding to what sources
have said are renewed efforts by the German conglomerate to sell
its steel division.
Sources told Reuters last week that Thyssenkrupp had revived
efforts to explore a divestment of Steel Europe, which the
company has been wanting to list, merge or spin off for most of
the past two decades.
"So far I have not seen any economic and industrial concept
that is so convincing that I would propose it to our
shareholders," Gunnar Groebler said when asked about the appeal
of a tie-up of the country's top steelmakers.
"We are also not in talks with Thyssenkrupp about this,"
Groebler told Reuters.
The news of Thyssenkrupp's plans have also put a question
mark over HKM, the steel joint venture between Thyssenkrupp
(50%), Salzgitter (30%) and France's Vallourec , which
wants to sell its stake.
As a result, labour unions fear that HKM could miss out in
the planned transformation towards carbon free steel.
"We have always said we stand by HKM," Groebler said.
"Vallourec has a different position. We are discussing what a
potential future for HKM could look like."
(Reporting by Tom Kaeckenhoff and Christoph Steitz, Editing by
Friederike Heine and Tomasz Janowski)
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