Tata Selling U.K. Steel Plant in Scunthorpe to Greybull
- Tata announces formal sales process for rest of U.K. steel
- Government would consider co-investing on commerical terms
SCUNTHORPE, ENGLAND - OCTOBER 19: A view of signage outside the Tata Steel processing plant at Scunthorpe which may make 1200 workers redundant on October 19, 2015 in Scunthorpe, England. Up to one in three workers at the Lincolnshire steel mill could lose their jobs alongside workers at other plants in Scotland. Tata Steel UK is due to announce the Scunthorpe job losses this week.
Photographer: Christopher Furlong/Getty ImagesTata Steel Ltd. agreed to sell part of its European steel operations, including the giant Scunthorpe plant, to Greybull Capital LLP -- a significant step in the company’s efforts to exit the U.K.’s dismal steel industry.
The agreement covers Scunthorpe steelworks in England, as well as mills in Teesside and northern France, which employ a total of 4,800 people, according to a statement from Tata, a unit of the Indian conglomerate. The sale is for a “nominal” fee, the company said. Tata has been in exclusive talks with Greybull, a London-based private equity firm, since December.