LNM and Ispat selected as preferred bidders for NSC

LNM and Ispat selected as preferred bidders for NSC

According to the recent market reports, Department of Trade and Industry in Philippines declared that bids of two major steel firms, namely LNM and Ispat, out of three or four bidders have been taken into consideration for the lease contract to operate National Steel Corporation (NSC) located in Iligan. It is reported that LNM Holdings N.V. offered Pesos 7 billion ($127 million) to recondition and recommission NSC and subsequently intends to buy the plant after the expiration of three year lease contract. Besides LNM, expecting a revenue over $12 billion for this year, previously stated that they will invest enough capital to run NSC at full capacity for two years. On the other hand, Ispat Group's bid for the contract with purchase option is not disclosed. NSC, which was established in 1962, closed in November 1999.