Liberty Steel resumes production in Rotherham after ‘support’ from customers and suppliers
Liberty Steel has resumed partial production at its Rotherham plant following ‘support’ from customers and suppliers.
The financially stricken firm has brought some staff off furlough after a period of intermittent operations that started on March 12.
A Liberty Steel spokesman said they had also agreed some ‘manufacturing campaigns in other units’ including the Stocksbridge furnace, and the Stocksbridge, Thrybergh and Brinsworth rolling mills.
He said: “Liberty Steel has today resumed partial production at its Rotherham plant following a period of intermittent operations since March 12.
“We are grateful for the support from our customers and suppliers in enabling the restart and in supporting our self-help measures such as matching our current stock to customer orders, and working with customers to achieve terms that will bring in cash earlier.
“We have also agreed some a few manufacturing campaigns in other units, including the Stocksbridge furnace, and the Stocksbridge, Thrybergh and Brinsworth rolling mills.
“The group continues to work on solutions to provide additional working capital facilities to replace the funding gap left by Greensill, and meantime is making use of the furlough scheme.”
The company is attempting to refinance after the collapse of lender Greensill.
Boss Sanjeev Gupta last week said Liberty owed Greensill ‘many billions’ but there had been a huge amount of interest from financiers. It also emerged that government had refused a request for a £170m bailout.
Liberty employs 5,000 in the UK including 1,600 in Rotherham and Stocksbridge where most workers were put on furlough on March 12 to save money.