Cevian Capital AB, the Swedish investor that seeks to buy undervalued stocks, increased its stake in German steelmaker ThyssenKrupp AG, pressing ahead with a goal to gain a seat on the board that oversees management.
ThyssenKrupp AG, Germany’s largest steelmaker, reported fiscal first-quarter earnings that beat analyst estimates as revenue from non-steel businesses increased and losses from the Americas narrowed. The shares rose.
German stocks rose to a record, with the benchmark DAX Index posting the biggest weekly increase in almost a month, as a U.S. report showed home construction capped the best year for the industry since 2007.
ThyssenKrupp AG plans to sell equity equivalent to as much as 10 percent of its market value as the largest German steelmaker found buyers for a U.S. plant that was part of the 202-year company’s worst investment.
A breakup of ThyssenKrupp AG -- an idea long-resisted by its biggest shareholder -- is starting to look more realistic after activist investor Cevian Capital AB increased its stake in the German conglomerate.