Global steel conglomerate ArcelorMittal may contend with other steelmakers to buy Liberty Steels’ Ascoval and Hayange plants in France.
German and Italian steelmakers Saarstahl and Beltrame Group have also reportedly expressed their interest in the two units, according to media reports on Tuesday.
Liberty Steel had acquired both plants in August 2020 from British Steel and Ascoval Steelworks, respectively. Hayange is a steel rails producer for the French railways and its estimated annual capacity last year was 300,000mt. The Ascoval facility has an electric arc furnace (EAF) with an estimated output of 600,000mt per year that produces steel blooms, billets, and other forged materials.
GFG Alliance, Liberty Steel’s parent company, has been struggling to get investment partners for its ailing units around the world since its main financier Greensill Capital went bankrupt in March this year.
The group’s plants in the UK were expected to receive funding worth £200mn in early May 2021 and its Belgian unit Liberty Liège Dudelange received a reprieve through a temporary credit relief in mid-May this year. GFG also announced extensive restructuring plans for its UK, Australia, and India businesses in late May 2021.