Spectator on facebook

Spectator on facebook

Chinese company, He Steel, set to buy U.S. Steel Košice

The US owners of the Košice plant and the Chinese have signed a memorandum of understanding.

US Steel Košice(Source: Courtesy of USSK)

The sale of U.S. Steel Košice (USSK), the Slovak plant of the US steel giant and the biggest employer in eastern Slovakia, has begun, the website of the economic daily Hospodárske Noviny, wrote on the evening of January 26.

Based on the daily’s information it is understood that the two companies signed a memorandum of understanding in Pittsburg on January 26 thus starting the flow of Chinese capital into the Košice-based plant.

“We will not comment on this topic,” said Ján Bača, USSK spokesperson, as cited by the daily.

The next step should be due diligence which is expected to start in February.

Read also: Read also:U.S. Steel seems to be departing

“The memorandum does not have strict rules, but it sets concrete limits and dates for the deal,” said Juraj Borgula, vice-president of the Slovak Engineering Industry Association (ZSP), adding that these include the conditions under which a possible buyer can show interest and the seller can dispose of the assets. “The signing of the memorandum also blocks other possible buyers.”

Among others interested in the acquisition of USSK was, for example, Czech Moravia Steel behind which stand Slovak billionaires led by Tomáš Chrenek.

Read also: Read also:If Americans were selling USSK, the state might acquire its part

Allegedly He Steel has offered €1.4 billion for USSK. This is a sum for which the American owners might be willing to sell the plant, the daily wrote.

Topic: Industry


Top stories

12 places where you can see the works of one of the best medieval wood carvers Photo

The works of the renowned Master Paul are not limited just to Levoča.

St Geirge Curch in Spišská Sobota

Heatwaves to continue in Slovakia over the following days

More than 40 people collapsed due to hot weather on Thursday.

Jourová: Fico not fully informed on all EC’s activities on double standards

European Commission President Jean-Claude Juncker will meet with Fico to discuss double quality standards of foods on July 27 in Brussels.

European Commissioner for Justice, Consumers and Gender Equality Věra Jourová

Foreigners: Events in Bratislava Video

Tips for performances and other events in the capital between July 21 and July 30, including concerts, parties, festivals, classical music, inline skating, exhibitions and more.