Thyssenkrupp shortlists potential buyers for elevator unit, Kone withdraws

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Thyssenkrupp shortlists potential buyers for elevator unit, Kone withdraws

On Monday, the 17th of February 2020, Essen-based German multinational conglomerate, Thyssenkrupp AG, the world’s one of the largest steel producers, said that the industral conglomerate had already shortlisted two private equity consortiums for a potential sale of its elevator unit, the German industrial conglomerate’s best-performing business unit, which in effect had dealt a heavy blow to Finnish Kone as a $16 billion merger of Thyssenkrupp’s elevator unit alongside the Finish industrial tycoon Kone had every potentiality to create the world’s largest elevator manufacturer.

On top of that, echoing disappointment in Kone’s withdrawal from the bid, shares’ prices of the Finnish group fell as much as 7 per cent on Monday’s (February 17th) market closure while Thyssenkrupp fell by 3.5 per cent.

Meanwhile, adding that the debt-laded company would centre its focus on two private consortiums such as a consortium led by the world’s largest asset manager, Blackstone, Carlyle and Canadian Pension Plan Investment Board as well as another consortium that involved Advent and Cinven, Thyssenkrupp said in a statement on Monday (February 17th), “The remaining bidders have submitted more concrete offers.

The bids are at a high level and underline the attractiveness of the business,” while a Thyssenkrupp spokesman was quoted saying a final decision could be yielded as early as following next week’s supervisory board meeting.