Czech billionaire trying to buy Royal Mail takes 20% stake in German steel sector
The Czech billionaire trying to buy Royal Mail has taken a 20 percent stake in a German steel company.
Daniel Kretinsky, whose £3.2 billion bid for Royal Mail owner International Distributions Services (IDS) was rejected, has seized part of Thyssenkrupp’s steel division for an undisclosed sum.
The German company said it was in talks with Kretinsky’s company EPCG to acquire another 30 percent stake and turn it into a 50-50 joint venture.
Swoop: Daniel Kretinsky has snapped up part of Thyssenkrupp’s steel unit for an undisclosed amount
Thyssenkrupp Steel Europe is Germany’s largest steel producer and linked to the country’s rise as an industrial power.
However, cheaper Asian competitors, high energy prices and a cooling global economy have put pressure on the company, leading to operating losses in four of the past five years.
Kretinsky, also known as the Czech Sphinx, is co-owner of West Ham. He owns a 27.6 percent stake in IDS and this month offered to buy the rest of the company for 320p per share.