FRANKFURT -- ThyssenKrupp AG is close to sealing a deal to build steering systems in a joint venture with carmaking giant DaimlerChrysler, an industry source said on Friday.
Thyssen will take a 60 percent stake in the joint venture with Daimler's Mercedes-Benz Lenkungen GmbH steering business, the source said.
Daimler will hold the remaining 40 percent, although Thyssen will have an option to buy out the rest of the stake in 2005.
"On the time frame, it may be done in the next couple of weeks or so," the source said, but gave no financial details.
DaimlerChrysler and ThyssenKrupp both declined to comment.
A union representative told Reuters in February that the management of both companies had signed letters of intent and said the deal would affect around 350 jobs. It was unclear whether there would be any job losses.
ThyssenKrupp, under pressure from credit rating agencies and investors to cut debt and boost profits, has pledged to accelerate a program of selling off weaker units while buying potential growth businesses to expand its steel, auto parts and elevator operations.