Liberty House said it has formally completed the 100-million-pound deal to acquire the speciality steels division of Tata Steel UK, and has now taken control of a unit in South Yorkshire. The acquisition will protect over 1,700 jobs at three major sites at Rotherham, Stocksbridge and Brinsworth in South Yorkshire, smaller sites in Bolton, Lancashire and Wednesbury in the West Midlands and two distribution centres in China.
The company issued a statement quoting executive chairman Sanjeev Gupta as saying, “Today marks a step change for the Liberty House Group because we are taking on strategically important capacity that will drive expansion in the years ahead. It will help us achieve our GREENSTEEL vision and facilitate investment in engineering products, thereby reducing the supply-chain gaps in the UK, especially in automotive and aerospace sectors.” Liberty House also plans to create 300 new jobs at the plant in the coming months, as it intends to expand the capacity of the unit, the statement said.
It said it would invest up to 20 million pounds in new expanded plant and equipment in the first year alone to boost competitiveness and secure international market leadership for the business, which is being relaunched as Liberty Speciality Steels. Gupta said, “By investing to acquire Speciality Steels we are casting a big vote of confidence in the future of British industry. With the right business model and an innovative approach, the UK steel and engineering sectors can recover and thrive. The government is now pursuing a new post-Brexit industrial strategy and steel must be at the heart of that strategy.”
Production from the arc furnaces is expected to rise to over a million tonnes per annum. “Through increased output and improved positions in the UK, North American, and EU markets, the business can improve its competitiveness and re-establish itself as a global force in the supply of engineering steels. We are aiming to improve capacity utilisation and productivity for the benefit of the whole business. We are also in discussion with the trade unions on how we can work together to facilitate our ambitious growth plans,” said chief executive of Liberty Speciality Steels, Jon Bolton.
