India’s Jindal Steel International is in advanced due diligence talks to acquire Thyssenkrupp Steel Europe, with discussions underway for a phased takeover of Germany’s second-largest steelmaker. Sources say Jindal, which made an indicative bid last year, could initially acquire a 60% stake, with the remaining 40% picked up later in one or two tranches, subject to progress in restructuring.
The phased structure would allow Thyssenkrupp AG greater flexibility in addressing around €2.5 billion in pension liabilities linked to the steel unit, a key obstacle in earlier sale attempts. Due diligence has been ongoing since October, with a Jindal Steel delegation expected to visit the Duisburg plant in Germany in January for a technical review.
For Thyssenkrupp, the deal supports its strategy to streamline operations, while for Jindal Steel, it would mark a major expansion in Europe following its 2024 acquisition of Vitkovice Steel in the Czech Republic.
