Construction group Papenburg and metals recycler TSR are considering a joint offer to acquire a controlling stake in German steelmaker Salzgitter AG. The companies aim to secure a 45% plus one share holding, leveraging Papenburg’s existing 25.1% stake in Salzgitter, which is actively transitioning to low-CO₂ steel production through its "Salcos" program.

This move aligns with Salzgitter’s plans to decarbonize by 2033, using hydrogen and electric arc furnaces. TSR’s interest is bolstered by its push to increase the use of recycled metals in steel production, evidenced by recent expansions of its TSR40 recycling facilities and the acquisition of non-ferrous specialist Siegfried Jost GmbH & Co. KG. With Salzgitter’s substantial stake in copper producer Aurubis AG, the potential acquisition could offer strategic benefits across the steel and non-ferrous metals sectors.