New Delhi: Lakshmi Mittal has warned Luxembourg against amending their legislation that could stop him from taking over Arcelor.
Mittal claimed that the takeover is supported by nearly 60 per cent Arcelor shareholders.
The Luxembourg Parliament is considering an amendment to the legislation governing corporate takeovers in the country.
According to the amendment, if less than 25 per cent of a company's capital has been listed on the stock exchange, the company taking over has to make a 100 per cent cash offer.
If the amendment is adopted, it could prevent Mittal from carrying out its bid for Arcelor, as it has only 12 per cent of its capital quoted on the stock exchange.
Mittal's currently offering 75 per cent via an exchange of shares and 25 per cent cash.
Meanwhile, Mittal Steel Co continued a charm offensive to win support for its euro18.6 billion ($22 billion) takeover bid for Arcelor, as the company's chief executive said he expects the deal to go through despite opposition from Arcelor's management and some European governments.
Benefits of the takeover, which would merge the world's largest and second largest steel makers 'are clearly there, if we keep our emotions aside', Lakshmi Mittal told reporters in
the company's Rotterdam headquarters.
He dismissed statements by Arcelor's Chief Executive Guy Dolle comparing the two companies' products to high-class perfume and low-end cologne, and said a merger would provide joint opportunities to save money and increase productivity.
(With agency inputs)
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