Posted September. 19, 2006 06:54,
In line with the trend of M&A in the international steel industry, POSCO is also considering an M&A with a foreign company. At this stage, we are considering a steelmaker in Asia, including China, said Lee Ku-taek, the CEO of POSCO.
The steel industry has reached its limit in growth in its domestic market, Lee said recently during an exclusive interview with the Dong-A Ilbo. This clearly indicates POSCOs wiliness to execute M&A deals.
POSCO is working on an M&A project. We are carefully reviewing the exact timing and the list of companies, he added.
I am watching (the news) with interest. Lee said in regard with the recent speculation over POSCOs acquisition of Daewoo Shipbuilding & Marine Engineering.
In response to Hyundai Steels building an integrated steel mill with a melting furnace by 2010, Lee said that Hyundai is more threatening to POSCO because it is located at a closer place. Hyundai Steel is one of the major factors making POSCO feel threatened.
POSCO will focus on the steel sector while making investment in steel-related sectors that have potential in growth like magnesium or electricity for generators. POSCO will become a leader in the global steel industry through active investment and development of new and original technologies like FINEX, Lee stressed.