The American investment company Flacks Group has updated its bid to acquire the Italian steel producer Acciaierie d'Italia (ADI), formerly known as Ilva, after the Milan Court of Appeal ordered the closure of the hot production site, Flacks Group told McCloskey.
On July 27, the Milan Court of Appeal ruled that ADI will stop production in the hot shop of its steel mill in Taranto for the next 90 days. Initially, the Milan court decided to suspend production at the plant for health reasons at the end of February 2026, but this decision was conditional on the implementation of necessary environmental measures.
The Flacks Group has developed an updated offering through the newly established Flacksider company to ensure the continuity of production and the construction of a new low-emission steelmaking facility. According to Flacks Group, Flacksider's proposal provides for the participation of Flacks Group together with other strategic partners, including equipment supplier Danieli and the Ukrainian Metinvest group. The company also believes that government involvement will be crucial to support the industry's transition.
"The Italian government has acknowledged that the current sale process can no longer continue on the original terms," a source at the Flacks Group said. "For this reason, the government has announced the start of a new tender process, as the previous tender covered both hot and cold operations and was effectively cancelled by a court decision."
The Italian authorities have not yet announced a timetable for the new tender. The next meeting to analyze the updated proposals will be held on August 5 at the Ministry of Enterprises and Production in Italy (MIMIT).
Another potential buyer is India's Jindal Steel, which expressed interest in acquiring ADI in March, returning to the fight for the plant after exiting it in 2025.
Earlier, according to a recent court decision, potential buyers submitted documents on decarbonization to reduce emissions, it is planned to replace existing blast furnaces with direct reduction cast iron (DRI) production in electric arc furnaces (EDP). In addition, market participants have suggested that Jindal Steel will also ship a low-CO2 steel slab from its new plant in Oman for re-rolling to ADI.
,To learn more about decarbonization projects in Italy, Oman, and around the world, check out McCloskey's global profile.,
.Flacks Group criticized Jindal Steel, stating that "Taranto's future should be based on new low-emission steel mills located in Italy, capable of providing industrial
