Arcelor rejects Mittal's hostile takeover bid

Steel giant Arcelor today rejected the 25 billion euros unsolicited acquistion bid by Mittal Steel but agreed to meet officials of the world's largest steelmaker to review its proposal to further improve the offer.

The Arcelor Board "unanimously" rejected the offer, saying it is "inadequate as it continues to undervalue Arcelor" and recommended "shareholders support the proposed merger with the Russian steel group Severstal and set the price per share of the self-tender at Euro 44 -- six euros more than offered by Mittal," Arcelor said in an official statement.