Klöckner not interested in total TK Materials buy: CEO

Klöckner would not be interested in Thyssenkrupp Material’s special steel producer AST Terni, nor the raw materials trading unit, as part of a possible takeover, Klöckner CEO Gisber Rühl said during a media call on Wednesday.

“Interest is logical when it’s on offer, but only under certain conditions,” Rühl said. “It’s clear that we have no interest in Terni and some trading business — trading with coking coal does not fit [us],” he added, noting even the parameters of a possible TK Materials sale remained unclear.

“There have not been talks as of yet. The signing between Tata and Thyssenkrupp has not happened yet, and I believe this needs to be done before the conversation [of a TK Materials spin-off] can start,” said Rühl, indicating that Thyssenkrupp will have to make the first move once it has signed for the merger of its steel division with Tata Steel.

Thyssenkrupp has hinted of a possible sale of its distribution arm and the Terni plant.

Rühl said the importance of growing through acquisitions has lessened for Klöckner, as the company ventures into providing online trading platforms. He had told S&P Global Platts last month that the possibility of acquisitions was back on the cards, following its decision to become a minority shareholder of its own trading platform, XOM.