NEW YORK The U.S. Federal Trade Commission (FTC) has given the green light to Chinas Wuhan Iron & Steel (Group) Corp. to acquire ThyssenKrupp AGs stake in automotive parts venture TWB Co. LLC, according to an early termination notice dated March 29 and issued April 1.
The FTCs approval means that there are no pending U.S. antitrust issues concerning Wuhans acquisition of TWB, a venture between ThyssenKrupp and Columbus, Ohio-based Worthington Industries Inc.
Wuhan will purchase ThyssenKrupps stake, which is the majority part of the company, a source familiar with the deal told AMM. The company has yet to receive approval from the Committee on Foreign Investment in the United States (CFIUS), an interagency committee of the Treasury Department that reviews transactions that could result in control of a U.S. business by a foreign entity.
ThyssenKrupp said last year it was selling its subsidiary to the Chinese steelmaker as part of its restructuring program, although the two parties agreed not to disclose the purchase price.
Monroe, Mich.-based TWB was formed in 1992 and makes tailored-welded blanks used in the automotive industry.
It is unclear whether Wuhan has plans to purchase Worthington Industries stake as well.
Calls to ThyssenKrupp AG and Worthington were not returned.