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Thyssenkrupp shares rise on elevator deal

FILE PHOTO: Model of Thyssenkrupp's MULTI elevator is pictured inside the company's elevator test tower in Rottweil

BERLIN (Reuters) - Shares in German industrial conglomerate Thyssenkrupp <TKAG.DE> rose as much as 4% on Friday after the company announced it will sell its elevators division for 17.2 billion euros (£14.4 billion), beating even the most optimistic price estimates.

Thyssenkrupp's stocks initially were a rare bright spot in a market that was deep in the red, dragged down by the effects of the coronavirus outbreak on the global economy.

The shares later turned negative and were down 3.4% at 0815 GMT.

German blue chip index DAX <.GDAXI> was down 3.7%, while the midcap index MDAX <.MDAXI>, which Thyssenkrupp is part of, declined 3.4%.

Thyssenkrupp announced on Thursday it will sell its elevators division to a consortium of Advent, Cinven and Germany's RAG foundation in what could be the world's largest buyout this year.

The bidding group prevailed against a rival consortium comprising Blackstone <BX.N>, Carlyle <CG.O> and the Canada Pension Plan Investment Board, which sources said submitted a lower offer.

(Reporting by Thomas Seythal; editing by David Evans)