Nationalised Steel Firm Joins Take-Over Battle

Press, Volume CII, Issue 30043, 30 January 1963, Page 11

Nationalised Steel Firm Joins Take-Over Battle

(MX Press Associetio*—Copyright)

LONDON, Jan. 29. A take-ever battle between State ami private steel ftraM broke ant in Britain last night. the "Defly Express” reparted. The firm of Stewarts and Lloyds announced an £8,750.000 take-over bid tor the Whitehead Iron and Steel Company of Newport, Monmouthshire. Immediately the £239 million nationalised flrm of Richard Thomas and Baldwine promised a riW bid. TOTaAarT WWteheed shares in response jumped 12s fl)d to 86s Ad. The “Daily Mail" Md Whitehead £1 shares late month had stood at Ms. The “Daily Mail" said thousands of jobs were at stake to the battle. Whitehead is Britain’s biggest independent steel reroller It remakes steel billets for the car. aircraft, electrical and building industries. The chairman of Richard

Thomas wid Baldwins, Mr Geoffrey Eley, announced his company's move to “protect the company's inter-

The company would with Government approval make an offer "in due course.” He saiid his directors were “gravely concerned” at Stewarts and Lloyds* bkl for one of their biggest single customers.

If R.TX. lost Whitehead's bonne's, be said, its wotks at Gowertown in Glamorgan would almost certainly shut, the “Daily Mail" reported There would also be unemploytneot at Redbourn and Ebbw Va> in Monmouthshire. The newspaper said Mr Eley's news had shaken the city. R.T.B. had not been expected to bid since M had an overdraft of £9.300.000 and owed the Governmeni £135 million.

The "Daily Telegraph" said RTB’s announcement was the first time a nationalised company had ente; d a take-over battle with a pri-vately-owned firm.