In a major restructuring move, Liberty Ostrava, the largest steel producer in the Czech Republic and a subsidiary of UK-based Liberty Steel, is changing hands, according to local media reports. A consortium formed by SPV NH Ostrava and SPV NH Koksovna, both controlled by Martin Pecina, a former minister of internal affairs, has agreed to purchase the company’s main steel plant and coking facility for CZK 3.01 billion ($142.82 million). The transaction is expected to safeguard thousands of jobs and maintain production stability after the company filed for insolvency last year.
Other non-core assets such as real estate and equipment will be liquidated through separate public tenders. This step aims to maximize asset recovery for creditors.
The sale is expected to be finalized by fall 2025, pending approval from the insolvency court and the Czech Republic’s office for the protection of competition. Once approved, the deal will restore operational clarity to one of the region’s most important industrial assets.
Background: Liberty Ostrava’s insolvency
Liberty Ostrava, part of the GFG Alliance, filed for insolvency in 2024 due to mounting debt and liquidity issues. The plant has historically played a key role in Czech steel production and is a major employer in the region.
The decision to sell core assets was seen as the most economically viable option for creditors and stakeholders, offering a path to continued operations under new ownership.
