Huta Katowice agrees to takeover deal with British Corus

Poland's largest steel mill, Huta Katowice, has agreed to the initial terms of takeover by British steel group Corus, of the mill's long products division. "If we receive the Treasury Ministry's approval, we could together create a long products division so that it could start operations at the beginning of next year," said Huta Katowice's chief executive Miroslaw Wrobel. Last year the government decided to divide the Katowice-based steel production facility into long parts, flat parts and steel-making divisions, after no investor declared interest in buying the entire company. According to the deal, Corus and Katowice would create a joint venture into which the Polish mill would bring its assets, while Corus would make investments. However, their amount has not been specified. (Reuters)