ArcelorMittal: ditches plans to acquire Ilva
(CercleFinance.com) - ArcelorMittal has abandoned the takeover agreement of the Italian steel mill Ilva, located in the region of Taranto, as concluded on 31 October.
The steelmaker specifies that according to the terms of this agreement, it had this option in the event that "a new law affects the environmental plan for the Taranto plant," as well as the faculty of ArcelorMittal to implement a (recovery) plan.
However, on 3 November, the Italian Parliament removed the legal protection necessary for the Company to implement its environmental plan without the risk of criminal liability, not to mention an adverse decision by the criminal court of Taranto; thereby, it denounces the contract of acquisition.
ArcelorMittal does not want to pay for the mistakes of previous owners and logically does not want to expose itself to criminal charges, related to possible lawsuits regarding the site's pollution, which is alledgedly responsible for hundreds of cases of cancer in recent years. Rome is offended but takes the risk of seeing the steelmaker, which was ready to clean up Ilva, withdraw permanently, Aurel BGC pointed out this morning.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The steelmaker specifies that according to the terms of this agreement, it had this option in the event that "a new law affects the environmental plan for the Taranto plant," as well as the faculty of ArcelorMittal to implement a (recovery) plan.
However, on 3 November, the Italian Parliament removed the legal protection necessary for the Company to implement its environmental plan without the risk of criminal liability, not to mention an adverse decision by the criminal court of Taranto; thereby, it denounces the contract of acquisition.
ArcelorMittal does not want to pay for the mistakes of previous owners and logically does not want to expose itself to criminal charges, related to possible lawsuits regarding the site's pollution, which is alledgedly responsible for hundreds of cases of cancer in recent years. Rome is offended but takes the risk of seeing the steelmaker, which was ready to clean up Ilva, withdraw permanently, Aurel BGC pointed out this morning.
Copyright (c) 2019 CercleFinance.com. All rights reserved.