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Mexican steel giant AHMSA faces bankruptcy as of August 4

Friday, 26 July 2024 09:45:46 (GMT+3)   |   San Diego
       

The integrated Mexican steel giant Altos Hornos de México (AHMSA) will face in two weeks the end of its judicial restructuring process of liabilities and so far without an agreement with its creditors, for which it will be declared bankrupt. In this process, they will seek to sell the company in a single package.

“There is no interest in selling relevant or essential assets for the operation of separate companies. It would be very complicated and would generate a loss of value for the company,” said Víctor Manuel Aguilera Gómez, conciliator of the commercial bankruptcy of the steel company, according to the Mexican newspaper El Tiempo.

“The ideal is to sell AHMSA and Minera del Norte (Minosa) together,” Aguilera said.

Minosa was the mining unit of AHMSA, which has already been declared bankrupt since May of this year. The bankruptcy process means selling the company to pay its creditors.

As of August 4, AHMSA, with a production capacity of 5.5 million metric tons of steel, could also be declared bankrupt.

According to the conciliator, there are already investors interested in AHMSA who are waiting for the bankruptcy ruling of the steel plant (with blast furnaces and an electric arc furnace) located in the northern Mexican state of Coahuila.

According to specialists, the sale of a company declared bankrupt frees the company from all its liabilities. In the case of AHMSA, with tax credits from the Mexican tax collection agency, its liabilities exceed $6.0 billion and its assets are $2.1 billion.


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