Liberty House takes over Ostrava steelworks from ArcelorMittal

01-07-2019

ArcelorMittal of India, the world’s largest steelmaker, has completed the sale of its Czech unit in Ostrava to Liberty House.

The steelworks’ new owner, Indian billionaire Sanjeev Gupta, has pledged not to cut production or close down the plant, which employs more than 7,200 people in a region with high unemployment.

Czech union leaders had claimed that Liberty House’s plans for the developing the steelworks were unsustainable and inconsistent with EU requirements.

The union OS KOVO argues Liberty House has failed to meet EU criteria in several key requirements, among them that the buyer be independent and unconnected to the vendor and have the money and know-how to ensure the business remains viable.