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Last Updated: Thursday, 1 June 2006, 16:25 GMT 17:25 UK
Abramovich rumour steels Corus
Corus aluminium plant

Shares in Corus have risen after reports that Chelsea football club owner Roman Abramovich was in talks about buying into the firm.

Both the Anglo-Dutch steelmaker and Mr Abramovich's representatives said they would not comment on "speculation".

However, the market reacted well to the talk, with Corus's share price closing the day up almost 2% at 398p.

Mr Abramovich is already in talks to take over 40% of Russia's largest steel maker, Evraz.

Consolidation

According to Russian business newspaper Kommersant, a move for Corus could see the Chelsea owner swapping shares between the two firms.

He would secure a key stake in Corus, which would then have access to cheaper materials in Russia, the report said.

The speculation comes a week after the world's biggest steel group, Arcelor, announced a deal to buy Russian firm Severstal, as it tried to fend off a hostile takeover bid from rival Mittal.

A spokesman for Mr Abramovich said he would not comment on "market speculation".


SEE ALSO:
Corus shares buoyed by bid talk
21 Mar 06 |  Business
Corus' shares soar on sale news
16 Mar 06 |  Business
Corus shares weather profits dip
30 Nov 05 |  Business
Corus profits shine after revamp
25 Aug 05 |  Business
Corus dropped from FTSE 100 index
09 Jun 05 |  Business


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