MAN Ferrostaal AG said Friday it is restructuring its steel business, transfering the trade and logistics of steel to a partnership with another company.
MAN currently controls 1.5 percent of the global market share of openly traded steel.In August, the company transferred its German steel activities to Ferrostaal Metals GmbH. It is now looking to integrate that company with the company’s North American and Brazilian steel activities in its new Ferrostaal Metals Group.
MAN Ferrostaal’s $1.3 billion steel business includes purchasing and sales as well as logistics of several steel types, including flat bar and long steel products, semi-finished products, wire rod, steel sheet, pipes and special steel.
Meanwhile, automaker Volkswagen AG has sought approval to raise its stake in MAN AG to as much as 30 percent, a move that would give it more clout in the truck maker’s bid to acquire Swedish rival Scania AB.
Germany’s Federal Cartel Office said it would take about a month to investigate the request. Volkswagen confirmed it had filed for approval with the regulator, but gave no timetable on how long it would take to acquire the stake.
Wolfsburg-based VW, Europe’s largest car maker, has said it plans to use its MAN holding to support a three-way cooperation plan between MAN, Scania and its own truck business. It holds a 15 percent stake in MAN and an 18.7 percent stake in Scania that gives it 34 percent of the voting rights.
Associated Press writer Matt Moore contributed to this article.