According to sources close to the case, the sale of the Italian Magona service center in Piombino, Tuscany, is progressing.
According to the source, at a meeting of representatives of the authorities, trade unions and the executive director of Trasteel Gianfranco Imperato, the company "showed very positive signs." Although a verbal agreement has been reached between Trasteel and the recipient of Greensill to sell Magona, it is reported that Trasteel continues to lease the business while a formal sale agreement is being developed and all documents are signed.
It is reported that Trasteel offered 36 million euros ($41.9 million) within eight months from the date of signing the contract as a rental payment, which will be deducted from the purchase price. Trasteel plans to start renting Magona on July 1, although another informed source believes that the preparation of an official agreement may take longer and that the July 1 date is an optimistic forecast.
Trasteel has assured stakeholders that it will provide the opportunity to purchase 40,000 tons of hot-rolled coils to continue Magona operations in the fourth quarter, as well as purchase approximately 4,800 tons of HRC for re-rolling at the plant between the end of June and July.
Unions welcomed the moves, with one union source saying the measures would give Magona "some oxygen" to pay workers in June and July. The employees are currently temporarily laid off.
The next meeting with all stakeholders is scheduled for June 25 at the Ministry of Entrepreneurship and Made in Italy in Rome.
Trasteel was unavailable for comment before the deadline set for the press.
Author: Natalia Kapra
Kallanish.com
