POSCO says talks to buy Arrium still under way

The Australian unit of South Korea's top steelmaker POSCO is still in talks to buy Australian miner and steelmaker Arrium Ltd., which recently rejected a takeover offer, its head said.

In early October, Arrium rebuffed a takeover bid by a consortium including POSCO Australia Pty and Noble Group Ltd. valued at A$1.01 billion ($1.04 billion).

"The consortium continues to have talks with Arrium," Shin Soo-cheol, managing-director of POSCO Australia, told reporters on Friday.

"We are discussing the issue with other members of the consortium, but details including the takeover timing cannot be unveiled."

The takeover push is aimed at expanding POSCO's capacity to develop resources and sales networks, the company said. Arrium, previously named One Steel Ltd., is Australia's second-biggest steelmaker. (Yonhap News)