This post is one of several on business heirs apparent. Let us know in the comments whether you think Aditya Mittal should take up the reigns of Arcelor Mittal, and be sure to check out the other heir apparent posts.
The cliché for an heir apparent is typified by the movie Tommy Boy: a dim-witted, irresponsible child pissing away the business and money the parent spent a lifetime accumulating. That cliché couldn't be more wrong in the case of Aditya Mittal, heir to the Arcelor Mittal Steel (NYSE: MT) business.
Even the term apparent is a bit misleading, since London resident Aditya, at 31, is already more of a partner to his father Lakshmi Mittal. As CFO, the Wharton-trained Aditya was the guiding force behind Mittal's most audacious move, the purchase of European steel giant Acelor for $38 billion, and has continued to push for the promised production increases and operational savings that justified the deal.
The two make a formidable team. The father, born poor, grew his steel fortune by understanding the nuts and bolts of the industry. The Wharton-trained Aditya brings financial savvy to the table, and as head of M&A for the company has overseen a steady stream of other acquisitions. Even in the dark days of 2001, when shares in the public company that the Mittals had formed, Ispat, fell to $1.50 due to the slump in steel sales worldwide, he was guiding the company into grabbing up cash-strapped assets in Eastern Europe and Africa. The market seems comfortable with Aditya's willingness to leverage the company's assets to continue its acquisitions, doubling its stock price since 2004 and riding the current bull market with relative success.
If I were a betting man, I'd bet that Aditya is as close to a sure bet as you'll find among the heirs apparent in big business. He's not Tommy Boy, that's for sure, but he might just be the golden boy.
Also be sure to check out the other heir apparent posts.
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Reader Comments (Page 1 of 1)
3-21-2008 @ 5:39PM
john said...
Aditya Mittal's work ethic is legendary.
Even at Wharton.. he was known as a work-a-holic