Luxembourg-based steelmaker ArcelorMittal is reportedly interested in acquiring Liberty Steel Group’s two French steel plants at Ascoval and Hayange, SteelOrbis has heard. Germany-based long steel producer Saarstahl Group and Italy-based Beltrame Group are also said to be showing interest in the plants. However, none of the companies have made any official comments regarding the rumors.
Liberty Steel put the Ascoval and Hayange plants up for sale in May after failing to refinance amid ongoing financial difficulties. In March this year, the French government provided a €20 million loan to the given plants for working capital and capital expenditure costs on the condition that Liberty would refinance the plants. The company had acquired the Hayange plant from UK-based British Steel and the Ascoval plant from Greybull Capital, former owner of British Steel, in August last year, providing an initial €65 million in new financing to achieve its greensteel strategy, as SteelOrbis previously reported.
The Hayange plant produces a wide range of steel rails, with an annual capacity of 300,000 mt of rails, employing around 430 people, while Ascoval, which employs 270 people, has a production capacity of an annual 600,000 mt of steel blooms, billets and other forged products from recycled scrap.
Meanwhile, Chinese rebar producer Jingye Group plans to acquire Liberty Steel’s three steel plants in the UK, seeking to expand its presence in the European market, as SteelOrbis previously reported.