British Steel deal in doubt

Turkish investor's time to close a deal has almost run out

Hopes are fading that Turkish investor Ataer Holding will conclude a deal to save British Steel ahead of today’s deadline.

British Steel has been kept operational since May by the UK government while a buyer for the firm, including the Scunthorpe steel works, could be found. Reports put the number of jobs at risk as 5,000 directly and a further 20,000 in the supply chain if there is no buyer.

Ataer’s reported proposal include acquiring land for new buildings as part of plans which could not only save these jobs but create new ones if a deal is completed.

The government granted Ataer exclusive right to seek a deal last August, with a deadline of today to finalise. Yesterday The Official Receiver said talks with other potential bidders would be allowed.

What is your sentiment on RS?

173.04
Bullish
or
Bearish
Vote to see community's results!

The Official Receiver added: "While discussions with Ataer are continuing, discussions with other parties who have expressed continued and renewed interest in acquiring the whole British Steel business will now be possible.”

Ataer seemed a good fit to acquire the troubled company as it already owns nearly 50 per cent of Turkey's biggest steel producer, Erdemir. However, the BBC reports that Liberty House is likely to rekindle its interest in buying British Steel. The company owns facilities in Rotherham and Stocksbridge, both in South Yorkshire, and employs 5,500 people across some 30 sites in the UK,

The material provided on this website is for information purposes only and should not be regarded as investment research or investment advice. Any opinion that may be provided on this page is a subjective point of view of the author and does not constitute a recommendation by Currency Com Bel LLC or its partners. We do not make any endorsements or warranty on the accuracy or completeness of the information that is provided on this page. By relying on the information on this page, you acknowledge that you are acting knowingly and independently and that you accept all the risks involved.
iPhone Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with the help of crypto or fiat
iMac Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with the help of crypto or fiat
iMac Image