Thyssenkrupp falls most in 2 years after profit warning
Thyssenkrupp AG shares plunged the most in two years after cutting its profit forecast, another sign that the crisis at the German industrial giant is far from over.
The company said there could be substantial adverse consequences because of a German investigation into steel-price fixing, and cited weakness at its elevator division. The company has also been affected by shipping delays due to low water levels in the Rhine river.
The shares sank 12 per cent to €16.84 in Frankfurt. Net income will be less than half last year’s level, according to a statement released late on Thursday.
Germany’s antitrust office has been investigating the steel industry for colluding on prices. In July, the office levied €205 million in fines on several companies. The probe isn’t expected to affect the Tata Steel joint venture, Thyssenkrupp board member Donatus Kaufmann said in a letter to employees seen by Bloomberg.