WHEELING, W.Va. (AFX) - Wheeling-Pittsburgh Steel Corp. officials Tuesday downplayed a takeover threat by an Illinois company -- instead focusing on a pursued alliance with Brazil's Companhia Siderurgica Nacional.
Esmark Inc. said Monday that it will try to seize control of long-struggling Wheeling-Pitt by ousting a board of directors it accuses of poor corporate governance.
Wheeling-Pitt Chief Executive officer James Bradley said Tuesday the board evaluated Esmark's earlier proposals several months ago and this new proposal does not appear to differ from it. A spokesman for the Virginia steelmaker, James Kosowski, declined to comment on the Esmark bid Monday when contacted by the Associated Press.
Under the proposed alliance announced in May with C-S-N, the company would take a minority stake in Wheeling-Pitt and enter a long-term steel-supply agreement in North America.
Bradley says the company remains excited about the possibilities of a strategic alliance with C-S-N.
Esmark said it would launch its effort at Wheeling-Pitt's annual meeting, which has not yet been scheduled.
Either deal would have to be approved by shareholders, federal regulators and the United Steelworkers.
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