IG Metall Unclear overLiberty Steel's Funding plan forThyssenkrupp
Reuters reported that German IG Metall union says that bid by Liberty Steel for the steel division of Germany's Thyssenkrupp still lacks clarity on financing. IG
Reuters reported that German IG Metall union says that bid by Liberty Steel for the steel division of Germany's Thyssenkrupp still lacks clarity on financing. IG Metall's North Rhine Westphalian regional leader Mr Knut Giesler told Reuters "Liberty has an idea. But it is unclear how it will be funded. It hasn't been proven yet that it's a sustainable concept."
Mr Giesler added "A spin off idea can be interesting, if it secures the whole company with 95,000 employees. IG Metall would benchmark all options against its key demands. Our red lines are known. We have a collective bargaining agreement. The commitments made on securing jobs, keeping sites and investments must be guaranteed."
Liberty Steel last month submitted what it called a firmed up bid for the division, with sources saying the group had secured significant financial leeway to fund the transaction. But Thyssenkrupp is also exploring a spin-off of the steel unit, while a third option could entail keeping the business and developing it under the roof of the parent group.