Wednesday 4 May 2016

Liberty House submits bid for Tata Steel UK assets

Sanjeev Gupta, Executive Chairman of Liberty House, has formally submitted the so-called letter of intent (LOI) to buy loss-making assets of Tata Steel, including the Port Talbot steel plants in Wales.

Tata Steel
The UK-based commodity-trading firm Liberty House Group has formally submitted the first bid for some of Tata Steel Ltd’s UK assets, reports a business daily.
Sanjeev Gupta, Executive Chairman of Liberty House, has formally submitted the so-called letter of intent (LOI) to buy loss-making assets of Tata Steel, including the Port Talbot steel plants in Wales.
“Liberty House Group today formally submitted the required LOI to Tata Steel Europe, containing its indicative bid for the entire issued share capital of Tata Steel UK," Liberty House said in a statement released late on Tuesday evening. 
"The document, which was sent from Liberty’s international headquarters in London, states the company’s intention to bid for all of Tata Steel’s UK assets, excluding its long products division which is in the process of being sold separately and the Scottish plate assets that Liberty already acquired from Tata,” Liberty House said.
The Port Talbot site in South Wales employs around 4,000 workers. 
Tata Steel’s total UK workforce is 15,000.
On 30th March, Tata Steel had said that it will consider various portfolio restructuring options for its UK business, including a sale in part or whole.
Tata Steel’s combined capacity in the UK is close to seven million tonnes (MT) of the company's total 13 MT of steelmaking capacity in Europe. 

The company acquired these assets as part of buyout of Corus Group Plc for US$12.9 billion in 2007.

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