France mulls uniting Ascoval, Hayange under new owner

French authorities are rumoured to be considering a solution to unite the steelmaking plant of Ascoval and the rail mill of Hayange under one new owner.

The units have been linked by strategic supply partnerships for some years now, but local authorities believe they could be strengthened by a merger dedicated to the production of high-value added rail, Kallanish notes.

Ascoval is controlled by Greybull, but the investment fund has indicated it would be willing to sell the unit. It can produce between 250,000-600,000 tonnes/year of continuous cast bar, depending on the product mix, through the electric arc furnace route.

Hayange, on the other hand, was formerly controlled by British Steel but was not included in the UK steelmaker’s sale to Chinese group Jingye. The local government has been looking for a new buyer for Hayange for some time, but the coronavirus spread has somewhat slowed this process.

The French press reports that sources close to the matter have indicated ArcelorMittal, Liberty Steel and the same Jingye as potential buyers of the Ascoval and Hayange mills.