SAO PAULO, Oct 2 (Reuters) - Steelmaking group Ternium SA agreed on Thursday to pay 616.7 million reais ($247 million) to pension fund Previ for a stake in Usiminas, as a battle for control of the beleaguered Brazilian mill heats up.
Under terms of the agreement, which were unveiled in a statement, Ternium will acquire 51.4 million common shares from Previ, the pension fund owned by workers of state-run Banco do Brasil SA. Ternium paid 12 reais per common share of Usiminas , representing an 82 percent premium to the stock’s close on Wednesday.
Last week, a rift between Japan’s Nippon Steel & Sumitomo Metal Corp and Ternium, Usiminas’ biggest shareholders, ended on the dismissal of Julián Eguren as chief executive of Usiminas.
Ternium’s purchase of the Previ shares will not trigger a tender offer for more Usiminas shares to other shareholders, the statement added. Usiminas is formally known as Usinas Siderúrgicas de Minas Gerais SA, and is Brazil’s largest flat steel producer.
$1 = 2.4952 Brazilian reais Reporting by Guillermo Parra-Bernal; Editing by Diane Craft