Tata Steel and thyssenKrupp AG have signed a Memorandum of Understanding to create a leading European steel enterprise by combining the flat steel business of the two companies in Europe and the steel mill services of the thyssenkrupp group. The proposed 50:50 joint venture - thyssenkrupp Tata Steel - would be focussed on quality and technology leadership and the supply of premium and differentiated products to customers with annual shipments of about 21 million tonnes of flat steel products.

The joint venture would have a pro-forma turnover of about 15 billion Euro per annum (Rs 115,000 crore) and currently employs about 48,000 people spread across various locations. It would be headquartered in the Amsterdam region of Netherlands.