Mittal Steel - Pmi

Post amalgamation analysis of Arcelor and Mittal blade Transaction Highlights Key Details annunciation of Merger: June 25, 2006 Value of transaction: €26.5 Billion or €40.44 per share Overview The merger combines Arcelor - a symbol of successful, pan-European cooperation and economic revival, with operations that span Luxembourg, Belgium, France and Spain - with a conglomerate founded by Lakshmi Mittal, who built a fortune routine around sick trade name plants in rapidly expanding markets from Trinidad to Kazakhstan organizational Structure The in the raw company will be named Arcelor-Mittal and will be headquartered in Luxembourg. Joseph Kinsch, chairman of Arcelor, would be chairman of the new company, and was succeeded by Mittal when Kinsch retired in May 2008. Mittal Steel held 45% stake in the new company Birth of a international steel giant Arcelor-Mittal The global steel giant The combined company now has 320,000 employees in to a greater extent than 60 countries, and revenues of more than $100 billion By gaining figure of roughly 10 percent of the worlds steel output, Mittal hoped to gain market world-beater over suppliers and customers, and leverage the new global footprint to improve efficiency and lower risk.

potential difference Post Merger Integration Issues Achieving the afore-mentioned synergies was dependent on successfully integrating the two companies (including management teams, sales and procurement groups, and run assets) despite a bitter war of words and actions that had compete out just a few months prior to the merger. The Steel Industry in 2006 Key Industry Highlights Increasing issue of privatization and consolidation Global demand was growing at 7.2% p.a. (2000-2005) parcel out of the top ten producers amounts to 30% of global trade get-go switching costs due to increasing number of producers terms pressure due to excess capacity with most producers, and then large consumers defining prices Increased power of consumers Bargaining power of... If you want to get a full essay, order it on our website: Orderessay

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