Baosteel may acquire smaller rival: report

The mainland’s top steelmaker, Baosteel Group, plans to take over rival Panzhihua Iron and Steel Group, the South China Morning Post said, citing a weekend report by the China Times, a Taiwan newspaper. "The State-owned Assets Supervision and Administration Commission (SASAC) is not satisfied with the work of Panzhihua Steel and has agreed to let Baosteel launch an acquisition of the Sichuan-based steel mill," a source was quoted as saying in the China Times. The proposed merger would be the first between two big steelmakers under the direct control of SASAC. The commission is boosting efforts to consolidate enterprises under its control. Panzhihua Steel is the mainland’s 18th-largest steelmaker.