Liberty Steel’s Magona facility in Italy is expected to be acquired by Swiss-based Trasteel, according to sources close to the matter.
Trasteel chief executive Gianfranco Imperato says that a sale agreement is likely to be signed shortly, with completion expected within 90 days of signing, according to Italian daily Il Secolo XIX.
Trasteel currently employs around 1,500 people and generates annual turnover of €1.7 billion ($1.98 billion). If the acquisition goes ahead, group turnover is projected to rise to approximately €2.2 billion.
Imperato also indicates that the company plans to invest around €100 million in the facility.
An informed source tells Kallanish that the unions have been informally told by the government that a meeting in Rome is expected to be convened on 17 February and a sale agreement is expected to be signed on that date. According to a union source, Trasteel plans to begin operations before the formal closing, potentially by leasing the facility for the period required to complete the transaction. To restart production, the new owner will need to secure hot rolled coil supply, a process that could take at least 60 days.
Magona has an annual capacity of around 650,000 tonnes, supported by two coating lines and one galvanizing line. Two additional re-rolling lines have been idle for several years.
It is believed that the plant is operating at sharply reduced rates, running fewer than 10 shifts per week out of 21 due to issues accessing HRC supply.
Liberty Steel declined to comment when approached by Kallanish while Trasteel was unavailable before the press deadline.
