Reuters reporetd that Austrian steelmaker Voestalpine aims to save EUR 900 million over three years via an efficiency programme it announced.

It said that cuts would affect all four of its divisions but did not envisage reducing staff or closing plants. The plan was more ambitious than the market had expected, sending the company's stock up 5.7% to EUR 32.115 by 1300 GMT, the biggest gainer in a flat STOXX Europe 600 basic resources index.

Analysts said that last month the company had flagged 2 year cost savings plan that they expected to be worth around EUR 500 million.

Voestalpine, which is battling steel market oversupply and weak demand from the energy sector, had told analysts on a conference call it would most likely announce such a plan in the second half of March.

Source – Reuters