Danieli’s share price is rising on the back of rumours about new partners in the Piombino project
According to reports in the local press, there are three industrial firms that are the furthest along in the selection process for a new partner
by Martina Soligo
Aggiungi Il Sole 24 Oreai preferiti su Google
Le ultime da Radiocor
Germania: Berlino avvia partnership con Nvidia su sviluppo IA industriale
Intesa Sp: avanza su Mps, cda esercita delega aumento capitale per Opas
***The Italian Sea Group: da Sanlorenzo offerta vincolante per 'Cantiere la Spezia'
(Il Sole 24 Ore Radiocor) - Danieli shares are surging on the Milan Stock Exchange in the wake of press rumours regarding possible new partners for the Piombino green steel project. The share (Danieli & C) of the Italian multinational – active in the design, construction and supply of plant and machinery for thesteel and metals industries – is fuelled by fresh rumours in the local press. Specifically, according to the local press, whilst there are reportedly 14 expressions of interest (as indicated by the CEO of the Metivnest/Danieli joint venture promoting the project), the Chinese group Baosteel and the Indian groups JSW Steel and Mittal are said to be the three industrial players furthest ahead in the selection process for Danieli’s new partner in the Piombino green steel project, namely the industrial plan for the construction of a large, low-carbon steelworks in the Piombino (Livorno) industrial hub.
JSW is currently said to be the favourite candidate, partly thanks to its already well-established industrial and logistical presence in Piombino. Equita points out that, should JSW or Baosteel actually join the project, Metinvest would have to withdraw from it, whilst with Mittal it could remain but with a minority stake.
The analysts, whilst noting that ‘Danieli has established relationships with all three of the parties mentioned ’, outline the next steps: ‘Metinvest’s Board of Directors, due to meet next week, is expected to take stock of the candidates and decide on the structure to be adopted. Subsequently, a new round of talks at the Ministry of Economic Development (MIMIT) is expected by the end of October, in parallel with the conclusion of the EIA screening process by the Region of Tuscany and MASE”. For the experts, who have a ‘Buy’ rating on the share with a target price of 81 euros, visibility on the project remains limited, however, and at current valuations, ‘the potential contribution of the Piombino project’ is not factored into market expectations.
