Seven Group and Steel Dynamics Launch A$13.2bn Bid to Break Up BlueScope Steel

The latest update is out from Seven Group Holdings Limited ( (AU:SGH) ).

Seven Group Holdings and US-based Steel Dynamics have lodged a non-binding indicative offer to acquire 100% of BlueScope Steel via a scheme of arrangement in a deal valuing the Australian steelmaker’s equity at about A$13.2 billion. Under the proposal, SGH would retain BlueScope’s Australian and Rest of World operations while on-selling the North American assets, including the North Star mill and building and coated products businesses, to Steel Dynamics, effectively splitting the group along geographic lines. The proposed all-cash offer of A$30 per share represents premiums of 27% to the last close and 33% to both the three-month and 52-week VWAPs, and SGH and SDI say they expect no material regulatory hurdles and do not plan to raise equity, relying instead on existing cash and debt capacity. The bidders argue the two BlueScope businesses are strategically misaligned and would create greater value as standalone entities under new ownership, with both parties signalling their intention to retain key management and offer board representation to ensure continuity, while emphasising potential benefits for shareholders, employees and local communities if the transaction proceeds.

The most recent analyst rating on (AU:SGH) stock is a Hold with a A$44.00 price target. To see the full list of analyst forecasts on Seven Group Holdings Limited stock, see the AU:SGH Stock Forecast page.

More about Seven Group Holdings Limited

Seven Group Holdings (SGH) is a leading Australian diversified operating group focused on industrial services and energy. Its portfolio centres on domestic industrial businesses where it applies a disciplined operating model and capital allocation framework to drive performance improvement and long‑term value creation, positioning itself as a major player in Australia’s industrial and infrastructure sectors.

YTD Price Performance: 0.82%

Average Trading Volume: 412,944

Technical Sentiment Signal: Buy

Current Market Cap: A$19.04B

For detailed information about SGH stock, go to TipRanks’ Stock Analysis page.