ThyssenKrupp Reaches Agreement with Dofasco

ThussenKrupp, a German-based steel company, has reached an agreement to acquire Hamilton, Ontario-based Dofasco for around $4.1 billion. Dofasco’s board of directors recommends shareholders accept the offer.

The price being offered is greater than an unsolicited bid that Arcelor made last week.

Brian MacNeill, chair of Dofasco's board, said, "The ThyssenKrupp offer recognizes the value of one of the world's most consistently profitable steel producers. The significant premium being offered reflects the strategic value of Dofasco to ThyssenKrupp in accelerating the growth of the combined companies in North America."

Dofasco is Canada's largest steel producer. The company manufactures hot rolled, cold rolled, galvanized, Extragal, Galvalume, and tinplate flat rolled steels, as well as tubular products, laser-welded blanks and Zyplex, a proprietary laminate. Dofasco's wide range of steel products is sold to customers in the automotive, construction, energy, manufacturing, pipe and tube, appliance, packaging and steel distribution industries.