FRANKFURT, March 1 (Reuters) - ThyssenKrupp Chief Executive Heinrich Hiesinger plans to abandon the group’s two-pillar structure of steel and technology to boost profits, German paper Handelsblatt reported, citing company sources.
Under the plan, the German industrial conglomerate would create regional divisions — initially for the United States, Japan, India and Turkey — that control ThyssenKrupp’s businesses on their turf, the paper said.
Hiesinger wants the management board to approve the planned revamp, which would cost more than 500 million euros ($668.9 million), in coming weeks, the paper said.
A spokesman for ThyssenKrupp said most of what Handelsblatt reported lacked any basis, adding it was also incorrect that the business areas as well as operating units would lose their independence. ($1 = 0.7476 euros)
Reporting By Peter Dinkloh, Maria Sheahan and Tom Kaeckenhoff; Editing by David Holmes