Aggressive Creditors Threaten Steel Jobs in UK – Mr Gupta
CityAM reported that GFG Alliance Chairman Mr Sanjeev Gupta has hit out at that the aggressive tactics of his steel empire’s creditors are putting tens of
CityAM reported that GFG Alliance Chairman Mr Sanjeev Gupta has hit out at that the aggressive tactics of his steel empire’s creditors are putting tens of thousands of jobs at risk. He wrote in the Times “Financial institutions with investments connected to Greensill are now trying to bring claims against us. We will of course robustly defend our legal position, including in the courts if necessary. Our clear priority must be to protect the long-term future of our people and local communities. These creditors are at risk of destroying their own chance of recouping value by taking these knee-jerk actions. They undermine profitable businesses and ultimately put at risk thousands of skilled, industrial jobs in communities with limited alternative employment opportunities. They are also damaging the resilience, profitability and environmental performance of UK businesses which rely on our steel and aluminium products, and are critical to the wider UK economy.”
He added “We have our challenges, and perhaps the greatest here in the UK, where our businesses have faced a dramatic squeeze from the aerospace and automotive markets, where demand for some products has fallen by as much as 60% through Brexit, Covid-19 and now Greensill.”
GFG Alliance, which employs 35,000 people around the world including 5,000 people in the UK, is in the process of negotiating replacement funding with new backers.