UK-based Liberty Steel plans to restart its steel manufacturing operations from next week amid discussions for alternate funding options for the steelmaker.
The UK government rejected a £170mn emergency loan appeal by the steelmaker’s parent company GFG Alliance on Mar 28. GFG has reiterated that it is still looking for new financiers after its primary backer Greensill Capital filed for insolvency earlier in March.
GFG has also continued discussions with the government in hopes of reaching a common ground to get the much-needed finances for the company, which includes the option of taking the business under government ownership if it becomes insolvent.
Liberty Steel has 12 plants and a smelter in the UK with 5,000 employees.