CSN Increases Usiminas Stake

Companhia Siderurgica Nacional (CSN) says it has increased its stake in Usiminas to 5.03% of the common shares. The Brazilian steelmaker also owns 4.99% of the voting shares. According to a research report by Banif, CSN may be interested in acquiring a position on the control group in Usiminas, despite its statements that it is not interested in acquiring more than 10% of any class of shares in the short term. Banif notes that CSN has not discounted increasing its stake in the voting capital. The company’s shareholder agreement requires the consent of all controlling shareholders before any sale or transfer of shares from the control group. That would likely force CSN to offer a significant premium in order to win universal approval to acquire shares from the control group, Banif says. Nippon Steel is Usiminas’ largest single shareholder with 27% of the voting stock.