Fear of thousands of British steel jobs as Sanzib Gupta’s Australian business collapses
After the crisis of the Sanjeb Gupta empire, new concerns have been raised about the British steel industry.
Two of Australia’s big names are facing closures due to pressure on his GFG alliance.
This tension puts businesses in other countries, including the United Kingdom, at risk. He employs about 5,000 people in the UK, of whom 3,000 work at Liberty Steel.
Jobs Fear: Sanjeev Gupta employs approximately 5,000 people in the UK, including 3,000 at Liberty Steel.
The 49-year-old woman owns steelworks in Rotherham, Stocksbridge, Newport and Hartlepool.
However, GFG has been struggling since the collapse of Greensill Capital, which specializes in supply chain finance and was the largest lender to GFG.
Gupta is struggling to raise cash to maintain his empire, which employs 35,000 staff. The collapse of Greensill was caused by exposure to GFG and caused great losses to its backer Credit Suisse.
Lenders are currently liquidating two of Gupta’s GFG businesses in Australia to collect cash. GFG has vowed to fight Credit Suisse in court, stating that it has not raised funds with lenders.
Credit Suisse targets several GFG companies in the United Kingdom. Last week, a Swiss investment bank submitted documents to liquidate its trading company Liberty Commordities.
Lenders can apply to the court and ask them to close the company that is borrowing money. If successful, you can sell your assets and repay your debt.
Gupta has promised not to close a single factory in the UK, but Whitehall officials have government and other rescue plans in place.
Concerns over British steel as Gupta’s Australian operations collapse
Source link Concerns over British steel as Gupta’s Australian operations collapse