GFG Alliance Provided Update on Restructuring Progress

SEATTLE (Scrap Monster): GFG Alliance, which owns LIBERTY Steel UK, has provided key update on restructuring and refinancing progress.

According to the announcement, winding up petitions have been withdrawn, following positive discussions with HMRC. Also, the company is in the process of constructive decisions with existing creditors over repayment of liabilities and with new lenders over refinancing of the business.

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A further injection of shareholder capital has enabled renewed steelmaking activity at LIBERTY Steel UK (LSUK). The fund injection campaign will extend to March and April and will enable the unit to serve its customers in addition to maintaining market position, said the company press release.

The Group is presently seeking potential buyers for LIBERTY Pressing Solutions Coventry (LPSC), which it had decided to divest in May last year. The operations till date were funded through shareholder capital, thereby helping it to fulfil customer orders.

The recent announcement of funding guidelines to co-finance operational efficiency projects at LIBERTY Primary Metals Australia’s (LPMA) integrated steel works at Whyalla, is seen as the first step in releasing the A$50 million grant, which in turn will significantly improve Whyalla’s productivity and efficiency.