Liberty Magona COVID19 Loan Guaranteed by Italian SACE SpA
Reuters, citing accounts filed with the Italian corporate registry recently, reported that the Italian government guaranteed EUR 86 million euros loan
Reuters, citing accounts filed with the Italian corporate registry recently, reported that the Italian government guaranteed EUR 86 million euros loan from Greensill Bank, part of the collapsed Greensill Capital group, to Liberty Steel’s Piombino based Italian company Liberty Magona SRL. According to Reuter report, Liberty Magona SRL secured a guarantee from Italy’s state-controlled export credit agency SACE SpA for the loan under measures to help companies navigate the coronavirus crisis. Liberty Magona while filing the accounts said that the three year loan was taken out in late August last year to strengthen its finances at a time when it was facing weaker demand for its products due to the pandemic.
Reuters report added “The Italian Ministry of Economy and Finance did not immediately respond to a request for comment. GFG Alliance and Greensill declined to comment on the loan.”
Italy is not the only country to have provided guarantees to Mr Sanjeev Gupta’s firms. The Scottish government gave GBP 575 million pound guarantee to the group in 2016. UK media have reported that the London government has also guaranteed hundreds of millions of loans to GFG Alliance or connected companies under Coronavirus loan schemes.
Liberty Magona is the Italian market leader for flat galvanized and pre-painted products. Founded in 1891 under the name La Magona d’Italia, it boasts of nearly 130 years of history and experience in the coated steels. LIBERTY Steel acquired the Piombino plant from ArcelorMittal in July 2019. LIBERTY Magona has a production capacity of 800,000 tonnes per year of galvanized and pre-painted flat steel, employs more than 500 people and has customers in Italy and around the world.