South Korean consortium back to Arrium bid again

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Publish time: 29th October, 2012      Source: ChinaCCM
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A South Korean consortium said this Tuesday that the pursuit of Arrium would soon be revived. The consortium is formed by steel giant Posco, commodities group Nobel and several South Korean funds.

The board of Arrium rejected the consortium's US$1.1 billion offer earlier this month.

Mr. Jeon Woo-Sig, the Executive Director of Posco, said the consortium was attracted to Arrium's long steel products, iron ore growth potential and infrastructure asset, especially Arrium is the only company owns railways and ports in southern Australia.

He also said that the current price level of raw materials will remain similar until the first quarter of 2013 but it is likely to increase due to the climate factors in major mining areas and the expectation of new Chinese government's new stimulation policy.