Cevian Capital increases its stake in ThyssenKrupp AG
1 October 2013
«Cevian Capital» Investment fund (Sweden) has decided to increase its share of securities in the capital of the «ThyssenKrupp AG» German steel giant (one of the leading stainless steel sheet of the global market). According to analysts, this decision was made under the influence of the increasing pressure of shareholders on the company's management in connection with the sale of loss-making US assets. In particular, as reported by foreign media, «Cevian Capital» investment fund increased its share to 5.2% share, and the hour is expressed his full agreement with the current policy of the company. Investment Fund Management stated that in a situation where «ThyssenKrupp AG» faced with lower demand for stainless steel, the sale of loss-making US assets — the right decision.
According to Jens Tishenforda, which is a partner of «Cevian Capital» fund, responsible for the German investments, measures taken by the «ThyssenKrupp» within the framework of the company's development program, already started to take effect. At the same time, experts note that the strategic move made «Cevian Capital» fund, is not typical for Germany, as the country is dominated by corporate management, with the result that financial market rules are not working in favor of shareholder activism.
Earlier it was reported that the German steel giant «ThyssenKrupp AG» in the first three quarters of this fiscal year, compared to the same period of the previous fiscal year, increased its loss by 23%. Thus, the balance of the corporation during the period equals EUR -1.2 billion (whereas a year earlier the rate was equal to EUR -0.98 billion).
Recall that «ThyssenKrupp AG» — this is one of the world's leading technology group, which occupies leading positions in the world in the production of stainless steel sheet, escalators and elevators, as well as one of the largest players in the metalcutting equipment market. The company was established in 1999, merging the structures «Friedrich Krupp AG Hoesch-Krupp» and «Thyssen AG». Today, business organizations officially presented in 80 countries of the world, where its production employs more than 180 thousand. Employees.
