SINGAPORE: Tata Steel has expressed disappointment on the decision of European Commission prohibiting the proposed European steel joint venture between Tata Steel Limited and thyssenkrupp AG. [the_ad id=”31605″]“Both companies, in statements on May 10, 2019, anticipated that the European Commission would not clear the proposed joint venture despite both parties offering a comprehensive package of remedies addressing the concerns of the Commission. Tata Steel noted with deep disappointment the conclusions of the Commission. The Company remains committed to its long-term strategy of focusing on growth in India, continue deleveraging its Balance Sheet and working towards creating a sustainable portfolio in Europe,” a statement issued to Singapore Exchange by Tata Steel noted.
The European Commission has prohibited the creation of a joint venture by Tata Steel and ThyssenKrupp under the EU Merger Regulation. “The merger would have reduced competition and increased prices for different types of steel. The parties did not offer adequate remedies to address these concerns,” it said.