News: Speciality Steel set for formal sale
The Government has approved the recommendation from the Official Receiver of Liberty Speciality Steels UK (SSUK) in South Yorkshire to proceed with a formal sales process.
In August, a judge approved an application from creditors to place the business, previously part of Liberty Steel and GFG Alliance, into compulsory liquidation.
Rothbiz reported last month on the previous Minister for Industry confirming that multiple companies were interested with former bosses saying that they would continue to advance a bid for the firm.
Rotherham MP, Sarah Champion has shared an update from the new Minister for Industry, Chris McDonald, which said that he was optimistic that a suitable buyer could be found.
The government has provided the Official Receiver with a letter of comfort and a letter of indemnity which effectivley covers costs. Teneo Financial Advisory Limited were appointed as Special Managers.
Advertisement
Chris McDonald MP, said: "The Government has now approved the Official Receiver's recommendation to proceed with a formal sales process, which will begin immediately. The Government is providing financial support to enable the Official Receiver to fulfil his statutory duties, and I am optimistic that a suitable buyer can be identified.
"As previously stated by my predecessor, I want to reassure you that no immediate changes to the workforce are planned. In his letter to staff, the OR noted that, at the end of the current liquidation process, all SSUK employment will be terminated, whether a buyer is found and a sale takes place, or a sale is unsuccessful resulting in closure of sites. Depending on the terms of any sale, a successful buyer has the option to then contract with staff who worked at SSUK.
"The current consultation period for redundancies runs until 31 October and was prescribed as soon as the Official Receiver took over the running of the sites in August. Now that a sales process is planned, we understand that this redundancy period will be extended in due course.
"Trade unions, alongside local and national government leaders, have a vital role in engaging with potential buyers, both to support employees and to showcase the skills and dedication of the workforce. My department continues to work closely with local stakeholders, including the South Yorkshire Mayoral Combined Authority and Local Authorities, whose collaboration with us, the Department for Education, and the Department for Work and Pensions spans employment, skills, investor engagement, and market intelligence, ensuring we are prepared for all potential outcomes related to SSUK.
"With the sales process now underway, I encourage potential investors to engage directly with the Special Managers along with the South Yorkshire Mayor and regional authorities, to explore future opportunities for the region. I fully recognise the uncertainty this situation brings for employees and their families, and I want to reaffirm the Government's commitment to a strong and sustainable future for steelmaking in the UK."
Images: Google Maps
In August, a judge approved an application from creditors to place the business, previously part of Liberty Steel and GFG Alliance, into compulsory liquidation.
Rothbiz reported last month on the previous Minister for Industry confirming that multiple companies were interested with former bosses saying that they would continue to advance a bid for the firm.
Rotherham MP, Sarah Champion has shared an update from the new Minister for Industry, Chris McDonald, which said that he was optimistic that a suitable buyer could be found.
The government has provided the Official Receiver with a letter of comfort and a letter of indemnity which effectivley covers costs. Teneo Financial Advisory Limited were appointed as Special Managers.
Advertisement
Chris McDonald MP, said: "The Government has now approved the Official Receiver's recommendation to proceed with a formal sales process, which will begin immediately. The Government is providing financial support to enable the Official Receiver to fulfil his statutory duties, and I am optimistic that a suitable buyer can be identified.
"As previously stated by my predecessor, I want to reassure you that no immediate changes to the workforce are planned. In his letter to staff, the OR noted that, at the end of the current liquidation process, all SSUK employment will be terminated, whether a buyer is found and a sale takes place, or a sale is unsuccessful resulting in closure of sites. Depending on the terms of any sale, a successful buyer has the option to then contract with staff who worked at SSUK.
"The current consultation period for redundancies runs until 31 October and was prescribed as soon as the Official Receiver took over the running of the sites in August. Now that a sales process is planned, we understand that this redundancy period will be extended in due course.
"Trade unions, alongside local and national government leaders, have a vital role in engaging with potential buyers, both to support employees and to showcase the skills and dedication of the workforce. My department continues to work closely with local stakeholders, including the South Yorkshire Mayoral Combined Authority and Local Authorities, whose collaboration with us, the Department for Education, and the Department for Work and Pensions spans employment, skills, investor engagement, and market intelligence, ensuring we are prepared for all potential outcomes related to SSUK.
"With the sales process now underway, I encourage potential investors to engage directly with the Special Managers along with the South Yorkshire Mayor and regional authorities, to explore future opportunities for the region. I fully recognise the uncertainty this situation brings for employees and their families, and I want to reaffirm the Government's commitment to a strong and sustainable future for steelmaking in the UK."
Images: Google Maps
0 comments:
Post a Comment