Czech energy and investment group Sev.en Global Investments has signaled interest in a possible combined bid for British Steel and Speciality Steel UK, arguing that a single buyer could create a stronger, more stable future for the UK steel industry, according to a report by The Guardian. The proposal, if pursued, could reshape the country’s steel sector by creating the UK’s largest steelmaker.
Sev.en suggests combined solution for British Steel and SSUK
Sev.en Global Investments has said the UK government should look for one buyer for both British Steel and Speciality Steel UK. The group stated that such a combination could create the country’s biggest steel producer and provide a more robust industrial solution.
The company already owns the UK’s largest electric steelworks and said it plans to invest £100 million in the UK, mainly in the electric arc steelworks in Cardiff, which it acquired last year. Sev.en also stated that it has the capacity to invest hundreds of millions of pounds more in Britain through its 7 Steel brand.
Sev.en says UK needs a buyer with steelmaking expertise
Speaking to The Guardian, Sev.en CEO Alan Svoboda said the UK government should seek a large company with proven steel production experience to take on British Steel’s plant in Scunthorpe, Lincolnshire, and SSUK’s electric arc furnace operations in South Yorkshire.
Although Svoboda said he could not discuss specific talks with the government or other parties, he suggested that a combined approach could be more attractive if it reduced the need for taxpayer support.
