KordaMentha Restructuring has completed the sale of Arrium Group Companies to Britain’s GFG Alliance after it secured the deal to acquire the business.
The sale, which was announced in July this year, includes Arrium’s manufacturing, recycling, Whyalla Steelworks and mining divisions.
A Korean consortium, which included steel maker POSCO had been named as the preferred bidder for Arrium, before GFG Alliance – owned by Britain’s Gupta family – won the deal.
The sale to GFG was also backed by Arrium’s committee of creditors.
At the time of the sale, GFG executive chairman Sanjeev Gupta said the company planned to create a vertically integrated and sustainable industrial business that encompasses mining, metal recycling, primary metal production, engineering and distribution.
“We aim to leverage the advantages of integration across the value chain, from raw materials and metal production to high-end engineered products, coupled with supply chain and value added financial solutions,” he said.
KordaMentha administrator Mark Mentha said the sale was great for the employees, customers, suppliers and stakeholders of Arrium, both in Whyalla and around Australia.
“The Arrium turnaround is a case study of what the Australian community can achieve with leadership, cooperation and goodwill,” he said.