The tender organized by the consortium of insolvency administrators Euro Insol and CITR for the sale of the Galati Steelworks and the Tubular section, was concluded today, after an extensive process of promotion and dialogue with strategic investors from the international steel industry.
As a result of the procedure, five strategic investors from Europe and Asia have bought the specifications and some of them have already visited the plant.
The asset capitalization process was supported by an extensive promotion campaign and identification of potential strategic investors. To this end, investment opportunities were presented to relevant steel industry players and global institutional investors. This included direct contact with 13 investors who had previously expressed their interest, as well as forwarding information to the embassies with which Romania has economic relations. At the same time, the investment opportunity was presented to the top 40 steel investment funds and the 30 largest steel companies in India, EMEA and the Americas, as well as to the main steel organizations in the US and EMEA.
The campaign included media appearances in Romania and abroad, as well as an international promotion through social media platforms, targeting top executives from major steel companies and specialized investors, generating millions of views and contributing to the asset's increased visibility on international markets.
„In the last year, the company has been stabilized so as not to go bankrupt, and today we are talking about a well-preserved asset, ready to be taken over by a strategic investor that will exploit its industrial potential. In addition, the concrete interest of the five investors who have purchased the specifications shows that there are real prospects for this process to be completed successfully and within a reasonable timetable, so that the plant can regain its role as an important economic pillar for the region. I am convinced that the next steps will confirm this potential”, said Remus Borza, President of Euro Insol.
„The interest shown by investors confirms that this industrial asset remains relevant at European level. Beyond the industrial infrastructure and capabilities, one of the most valuable assets of the combine is the specialized workforce that exists here. The technical skills, the years of experience and the industrial culture of this team are a strategic asset for any investor wishing to restart and develop production. That is why, in the dialog we had with investors, the interest in human resources was constantly mentioned as an essential element of the potential of the plant”, said Paul-Dieter Cîrlănaru, CEO CITR.
In the following period, the auction procedure will continue according to the established steps, and the receivers will maintain dialog with interested investors and will continue to promote the asset in order to identify the optimal investor. The Inter-Ministerial Committee will also be kept informed of the steps taken and the conclusions resulting from the promotion and auction process.
In February, the modification of Liberty Galati's restructuring plan, proposed by the consortium of insolvency administrators Euro Insol and CITR, was approved by the Galati Court, a decision that paved the way for the recovery of the steelmaker's assets and the attraction of a strategic investor.