Salzgitter gains on talk China Steel to build stake

FRANKFURT, Feb 22 (Reuters) - Shares in German steelmaker Salzgitter rose on Monday as traders pointed to speculation China Steel will build a strategic stake in the company.

Shares in Salzgitter were up 2 percent at 1028 GMT, outperforming the DJ Stoxx European Basic Resources Index , that stood 1 percent higher.

Salzgitter was not immediately available for comment.

(Reporting by Joanne Frearson, Dominic Lau and Atul Prakash in London, Jan Schwartz in Hamburg and Christoph Steitz in Frankfurt) Keywords: SALZGITTER CHINASTEEL/ ([e-mail]; [phone]; Reuters Messaging: [e-mail]) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.