BUCHAREST (Romania), July 1 (SeeNews) - Luxembourg-based multinational steel manufacturing corporation ArcelorMittal said on Monday it has completed the sale of several ArcelorMittal steel plants in Romania, North Macedonia and other countries to Liberty House Group.
The total net consideration for the assets payable to ArcelorMittal is 740 million euro ($838 million), of which 610 million euro was received on June 28, the company said. ArcelorMittal is required to deposit 110 million euro in escrow to be used by Liberty House for certain capital expenditure projects as part of the European Commission approval process.
In April, the European Commission approved Liberty House Group's purchase of several ArcelorMittal steel plants in Romania, North Macedonia and other countries.
The assets were sold under commitments made in May 2018 by ArcelorMittal in order to buy Italian steelmaker Ilva.
ArcelorMittal is selling a steelworks in Galati, in Romania, an integrated steelworks in Ostrava, Czechia and finishing plants in Italy, Belgium, Luxembourg and North Macedonia.
In November the Romanian government said Liberty House Group pledged to invest 300 million euro in the steel mill in Galati.
ArcelorMittal Galati employs about 6,200 people and is the largest integrated steel plant in Romania.
Formerly known as Sidex Galati, it was bought by LNM Holdings NV in 2001 from the Romanian state, for 70 million euro. In 2004, it became part of Mittal Steel, a company created by the merger between LNM Holdings NV and Ispat International. Two years later, following a merger between Mittal Steel and Arcelor, Sidex became ArcelorMittal Galati.
ArcelorMittal, formed in 2006 from the takeover and merger of Arcelor by Mittal Steel, is the world‘s leading integrated steel and mining company present in more than 60 countries.
Liberty House Group is an international business, registered in Singapore with headquarters in London, active in commodities, metals recycling, and the manufacture of steel, aluminium, and engineering products. It employs over 19,000 worldwide.