ArcelorMittal Investco Italy has concluded its exclusive negotiation phase and reached a binding agreement concerning the lease and obligation to purchase Ilva and its subsidiaries with the Italian Government, ArcelorMittal and Marcegaglia announced in a press release Friday afternoon.
According to the note, the initial documentation will be completed by 30 June. The agreement is subject to the satisfaction of certain conditions precedent, including information and consultation requirements and EU merger approval.
As expected, Intesa Sanpaolo will formally join the consortium before the transaction closes, the note reported. “Today marks an important step in the Ilva sales process. We are keen to get started and will now focus on reaching completion as soon as possible,” Lakshmi Mittal, Chairman and CEO of ArcelorMittal, stated.
“We have a very sound understanding of what needs to be done to improve the performance of the company and, importantly, its relationship with stakeholders and local communities. Our vision is for Ilva to become a benchmark for modern integrated steelmaking and this will be realized through the implementation of our industrial and environmental plans, backed up by significant investment,” he added.
In another note released by Ilva, the deal was made in accordance with bidding rules that fulfill all the Italian government’s priorities such as keeping the level of workers at no less than 10,000 and the defining of contractual clauses to guarantee the execution of the plans.
Annalisa Villa, PLATTS
