Saarstahl Inks Provisional Deal to Buy Liberty Ascoval & Hayange
A provisional deal reached between Liberty Steel and Germany’s Saarstahl. Saarstahl and its parent company Stahl-Holding-Saar announced on 2 July 2021 that they have obtained an agreement in principle from Liberty Steel France Holding on 1 July 2021. Saarstahl said “This is another important step that paved the way for Stahl-Holding-Saar to take over the two steel plants, Liberty Ascoval in Saint-Saulve in Nord and Liberty Rail Hayange in Hayange in Moselle in France. Saarstahl and the SHS group are fully mobilised alongside all parties and the Ascoval and Hayange teams so as to achieve a final agreement by the end of summer 2021.
But Eastern Eye reported that GFG Alliance said that ArcelorMittal remains a key contender for Liberty Steel’s key French sites. A GFG spokesman told AFP “Although we are keen to keep Liberty Steel France within the group we have also identified two credible buyers, in ArcelorMittal and Saarstahl, who will be able to build on our ambitions for the business. Liberty Steel France’s main stakeholders will now decide the best way to ensure the plants’ employees, customers and other stakeholders can have confidence in the sustainable future of the businesses. Both businesses have faced a significant reduction in working capital support since the collapse of Greensill Capital and we have worked hard over the last few months to secure new financing and explore sale options for them.”
Liberty Steel is undergoing a drastic restructuring to offload assets after following the collapse of GFG’s main financier Greensill Capital in March.