Officials in Zimbabwe said Monday that two internation al companies had been shortlisted to buy a controlling stake in the country's st a te-owned iron and steel company, PANA reported from here Monday.

Industry Minister Welshman Ncube said Jindal Steel and Power Limited and Arcelor Mittal had been chosen to buy at least a 50 per cent stake in the huge Zimbabwe

Iron and Steel Company (Ziscosteel).

The Zimbabwean steel company, 89% owned by the state, is bogged with debts of mo re than US$ 300 million which has rendered it unprofitable.

Ncube said the shortlist of the bidders had been submitted to President Robert M ugabe and his two coalition partners to make a final choice.

At least five companies had offered to take over Ziscosteel, which at peak produ ction in the 1990s produced more than 700,000 tonnes of steeel annually and expo r ted 70% of the output.

"The recommendations are now before the principals (coalition government leaders ), awaiting their determination," Ncube said. 

By PANA