The Košice steelworks would be on sale again
The company is tight-lipped about complaints.
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US Steel in Košice is again for sale, according to the daily Hospodárske Noviny.
The newspaper cited reliable sources in eastern Slovakia, but neither the company nor the Ministry of Economy provided a clear answer on the veracity of the story.
According to Hospodárske Noviny, several foreign companies have shown interest in buying the steel plant. It says negotiations have been ongoing for some time, but there is no information on the number of investors involved, the phase of the negotiations or the offers.
The factory is the largest employer in eastern Slovakia and the announcement of its potential sale comes with good financial results.
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Few details disclosed
This is not the first time that reports have emerged claiming that US Steel was about to be sold. Five years ago, the company reportedly considered two offers from Chinese buyers and one from a Czech company.
According to company spokesperson Ján Bača, the company continues to seek partnerships, both in the United States and in Slovakia, that would help it achieve carbon neutrality by 2050.
“We have been in Slovakia for over two decades and appreciate the strong relationship we have with the residents and the government,” Bača was quoted as saying by TASR newswire.
He added that they would announce any news regarding potential new partnerships, but as of now there is nothing to say.
The Economy Ministry also did not comment.
“Since this is a private company, any questions should be directed to US Steel,” the department said, as quoted by TASR.
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Potentially high price
Speaking to Hospodárske Noviny, Tomáš Ferech, a capital markets analyst, suggested that the motivation behind the sale could be that the company’s revenue for the last year set an all-time high, thus the sale price of the factory could be higher than the last time it was approached. by buyers. The price is high due to both revenue and record steel prices.
Another reason for the sale could be the overview of the sector in Europe. The market’s production capacity has decreased by 25% over the past eight years. In addition, the steel plant depends on the import of raw materials from Ukraine, in particular iron ore. At the moment supplies are coming in, but that might change in the future.
Still, US Steel’s statements might not be confirmation that the company actually wants to sell the plant. The company has previously said that the Slovak government could be a partner in terms of new investments, daily Denník N.