VDM sale attracts bids from financial investors, paper

Sun Jun 30, 2013 11:53am EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

FRANKFURT (Reuters) - Finnish stainless steelmaker Outokumpu's (OUT1V.HE: Quote) efforts to sell VDM, its high-performance alloys business, has attracted preliminary bids mainly from private equity firms such as Triton, Apollo and KPS Capital, a German daily reported.

Handelsblatt said in a report due to be published on Monday, citing financial sources, that the bids were in the high three-digit million euro range, below the 1 billion euro ($1.3 billion) level Outokumpu had in mind.

A decision will be made soon on selection of a short-list of candidates, it said.

VDM is part of stainless steel producer Inoxum, which German steelmaker ThyssenKrupp (TKAG.DE: Quote) sold to Outukumpu last year.

In May this year, Outokumpu said it might sell VDM, indicating it was struggling to turn a profit from its acquisition of Inoxum.

($1 = 0.7693 euros)

(Reporting By Marilyn Gerlach)

Finnish stainless steel company Outokumpu's headquarters is seen in Espoo, Finland February 1, 2012. REUTERS/Jussi Nukari/Lehtikuva