Czech Government rejects investment in Liberty Steel Ostrava
Time:Fri, 19 Jul 2024 08:58:03 +0800
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The Czech Government has ruled against any investment in debt-ridden Liberty Steel Ostrava and has made only a proposal for a partial takeover of the plant.
Liberty Steel previously said it had put its 2 million tons per year Liberty Ostrava steel plant up for sale after difficulties with its restructuring plan. Production at the plant essentially stopped in December after one of its largest creditors, Tameh Energy, decided to cut off power. Sources said there was also little interest from potential investors.
Liberty Steel's national representative on the committee of creditors, state export bank EGAP, has asked the committee and the insolvency administrator to give up part of its ownership in GFG. The move could be beneficial for a partial takeover by the creditors' committee and managers.
