Bluescope wants to talk after swoop

BlueScope Steel, Australia's largest steelmaker, sought to open talks with its two largest local customers after blocking their plans to combine through a A$1.6 billion ($1.9 billion) takeover.

BlueScope on Thursday bought a 19.9 per cent stake in Smorgon Steel, the nation's third-largest steelmaker, to stop OneSteel's planned acquisition.

"We now have a seat at the table in any discussions about changes in the Australian steel industry," said Sandi Harwood, a spokeswoman for Melbourne-based BlueScope.