Thyssenkrupp AG: thyssenkrupp boards approve creation of a 50/50 steel joint venture with Tata Steel. Signing of a definitive agreement expected shortly.

Disclosure of an inside information according to Article 17 MAR

thyssenkrupp boards approve creation of a 50/50 steel joint venture with Tata Steel. Signing of a definitive agreement expected shortly.

The executive board and the supervisory board of thyssenkrupp AG have adopted resolutions for the signing of a definitive agreement to create a 50/50 joint venture, which will combine the European steel businesses of thyssenkrupp and Tata Steel. This follows the signing of a Memorandum of Understanding in September 2017.

Due diligence and independent expert opinions have confirmed the economic viability of the new company and the expected annual recurring synergies of EUR400 to 500 million. The joint venture with Tata Steel is an important milestone for the transformation of thyssenkrupp to an industrials and service group and will lead to a significant improvement of the financial figures of thyssenkrupp, effective with closing.

In case of an Initial Public Offering (IPO) of the joint venture thyssenkrupp will receive a higher share of the proceeds, reflecting an economic ratio of 55/45.

The signing of the definitive agreement is expected shortly. The transaction is subject to merger control clearance in several jurisdictions, including the European Union.