DIRECTORS OF EUROPEAN STEEL GIANT ARCELOR SA HELD A CRUCIAL MEETING SUNDAY AMID SIGNS OF A SHAREHOLDER REBELLION AND AS THE BATTLE FOR CONTROL OF THE WORLD'S SECOND BIGGEST STEELMAKER ENTERED A DECISIVE STAGE, DPA REPORTED.. BUT AN ANNOUNCEMENT ON THE OUTCOME OF THE MEETING AND THE BOARD'S RESPONSE TO A HOSTILE 25.8 BILLION-EURO (32.6 BILLION DOLLARS) BID LAUNCHED BY INDIAN-BORN BILLIONAIRE LAKSHIMI MITTAL IS NOT EXPECTED UNTIL MONDAY, AN ARCELOR SPOKESMAN SAID. THE MITTAL BID HAS MET WITH FIERCE OPPOSITION FROM ARCELOR'S MANAGEMENT WHICH HAS INSTEAD UNVEILED PLANS FOR A 13-BILLION-EURO MERGER WITH RUSSIAN STEEL MAGNATE ALEXEI MORDASHOV'S SEVERSTAL GROUP. THE ARCELOR BOARD IS EXPECTED TO REJECT THE MITTAL OFFER, INCREASING THE PRESSURE ON MITTAL TO RAISE ITS BID. LUXEMBOURG-BASED ARCELOR HAS SO FAR NOT FORMALLY RESPONDED TO THE MITTAL OFFER. APART FROM A FORMAL RESPONSE TO MITTAL'S BID, ALSO ON THE AGENDA FOR THE ARCELOR BOARD MEETING WAS HOW TO DEAL WITH A REVOLT BY A GROUP OF INFLUENTIAL SHAREHOLDERS OVER THE SEVERSTAL MERGER PLAN. AS THINGS STAND AT PRESENT, ARCELOR'S STOCKHOLDERS ARE DUE TO CONSIDER THE SEVERSTAL MERGER PLAN AT A MEETING SET DOWN FOR JUNE 28. BUT A GROUP OF ARCELOR SHAREHOLDERS HAVE BEEN ANGERED BY THE COMPANY'S PLANS FOR THE COMPANY AND SEVERSTAL TO TEAM UP UNLESS MORE THAN 50 PER CENT OF SHAREHOLDERS VOTE DOWN THE MERGER PLAN. --MORE 11/06/2006 21:52 ت م
