Tycoon Sanjeev Gupta shies away from British steel rescue which would save 5,000 jobs
Liberty House Group owner Sanjeev Gupta says he does not believe the British Steel site fits his futuristic ‘greensteel’ recycling model
Steel tycoon Sanjeev Gupta was last night backing away from a bid to buy British Steel and save 5,000 jobs.
The industrialist and owner of Liberty House Group does not believe the site fits his futuristic ‘greensteel’ recycling model.
Gupta was dubbed the saviour of British steel when he rescued mills in Wales, Yorkshire and Scotland, protecting 4,500 jobs.
A source said: ‘At the moment the odds are he won’t make a bid.’
The news will disappoint British Steel workers whose jobs are in jeopardy after private equity firm Greybull Capital led it into administration two weeks ago.
There are believed to be a handful of realistic potential suitors, although bids are not expected this week.
Liberty’s ‘greensteel’ model uses electric arc furnaces to recycle scrap metal into high quality steel.
Gupta was dubbed the saviour of British steel when he rescued mills in Wales, Yorkshire and Scotland, protecting 4,500 jobs
The Guptas have invested in green energy, including hydroelectric and tidal power projects in Wales and Scotland, as part of the strategy.
Liberty said: ‘The business does not fit Liberty’s greensteel strategy in its current form.
‘We are monitoring the situation at British Steel and share the concern of the UK industry about the future of the site and the jobs.’