As sources close to the dossier told Callanish, Trasteel confirmed to the authorities its interest in the coil service center in Magona and sent an offer to lease and subsequently acquire control of the company.
This step could give a powerful impetus to efforts to reopen the Piombino plant. "However, a message from Magona's lawyers is of great concern, stating that the administrator of Greensill Bank has not yet responded to Trasteel's proposals. This situation prolongs an unacceptable period of uncertainty not only for employees, but also for Italian institutions," the Italian Ministry of Enterprises and Made in Italy (Mimit) said in a note reviewed by Callanish.
Last month, Mimit in Rome hosted a new round of negotiations on the future of Magona, which has been embroiled in a protracted crisis following the bankruptcy of its owners, Liberty Steel, and its controlling shareholder, lender Greensill Bank. A union source confirms that Magona has been out of business since August last year, with the exception of a part of the plant that operated for two weeks in December.
"Trasteel has done everything necessary to lease the company, at least for the time being. We have a buyer, but no seller," another informed source comments. Magona is at risk of bankruptcy by mid-June, they add. Trasteel is reportedly willing to pay 45 million euros ($52.93 million) for the company's lease, an amount that will be deducted from the final purchase price.
The collapse of Greensill in March 2021 brought Liberty to the brink of bankruptcy, and since then the firm has been trying to find new sources of financing to continue its operations.
Trasteel was unavailable for comment before the press deadline.
Author: Natalia Kapra
Kallanish.com
