Trasteel seeks to acquire Liberty's Magona plant
The Liberty Steel plant in Magona, Italy, is expected to be acquired by the Swiss company Trasteel, according to sources close to the matter.
Gianfranco Imperato, executive director of Trasteel, says the sale agreement is likely to be signed soon, with completion expected within 90 days of signing, Italian daily Il Secolo XIX reports.
Currently, Trasteel employs about 1,500 people and has an annual turnover of 1.7 billion euros ($1.98 billion). If the deal goes through, the group's turnover is projected to grow to about 2.2 billion euros.
Imperato also reports that the company plans to invest about 100 million euros in this venture.
An informed source tells Callanish that the government has informally informed the trade unions that a meeting will be held in Rome on February 17, at which the sale agreement is expected to be signed. According to a trade union source, Trasteel plans to start work before the official closure, possibly by leasing the facility for the period necessary to complete the transaction. To resume production, the new owner will need to ensure the supply of hot-rolled coils, and this process may take at least 60 days.
The Magona plant has a capacity of about 650,000 tons per year, which is provided by two coating lines and one galvanizing line. Two additional rolling lines have been idle for several years.
The plant is believed to be operating at dramatically reduced productivity, performing fewer than 10 shifts per week out of 21 due to problems accessing HRC supplies.
Liberty Steel declined to comment when contacted by Callanish, while Trasteel was unavailable until the press filing deadline.
Author: Natalia Kapra
Kallanish.com