GoDubai
  
  
  
  
Citylife > Press Release
  Home Contact us Add to Favourites
Most Recent Postings
More Press Releses
Featured Sections

Event Finder
A daily roundup of exhibitions, promotions and other events in Dubai and the rest of the Emirates.
Submit an Event
Latest Dubai Press Releases >> Real Estate and Retail

 
  Share

Dubai, UAE, January 11, 2018:  Sanjeev Gupta's GFG Alliance today marked the started of a major expansion into continental Europe by launching a €2billion investment programme in France. 

As part of this programme, GFG's industrial arm Liberty House has made a binding conditional offer to Rio Tinto to buy Europe's largest aluminium smelter based in Dunkerque, France. 

The offer triggers a statutory consultation with employees, European Works Council and stakeholders and, subject to a successful outcome to this process, Liberty says it has ambitious plans to invest and develop the 570-worker plant, potentially creating thousands more jobs on-site and in the wider economy.

In addition to serving existing customers with aluminium slab and ingots, Liberty wants to capitalise on the growing market for aluminium components among Europe's vehicle manufacturers by working with stakeholders to develop downstream manufacturing activities linked to the smelter at Dunkerque. 

It is estimated that the total aluminium content in European-made vehicles will rise from 3.3m to 4.3m tonnes a year by 2024 and that the global use of aluminium auto body sheet will more than double in the next 10 years. This is driven by the trend towards lighter-weight vehicles with a lower carbon footprint.

Today's announcement follows recent confirmation that Liberty is engaged in a formal bidding process to acquire Asco Industries.  Asco has steel mills and service centres at six locations across France, employing around 1,500 people.  The Asco business is similar to Liberty's Speciality Steel's business in the UK, where the operation is a key supplier to the UK automotive and aerospace sectors, and is a core part of GFG's GREENSTEEL vision and long-term strategy.

The company said it is attracted to invest heavily in France by the very pro-business environment being created by the Macron Government.

Referring to the Dunkerque agreement, executive chairman of the GFG Alliance, Sanjeev Gupta said: “Our detailed analysis leads us to believe that Dunkerque is the best location to drive forward our downstream automotive strategy. Aluminium Dunkerque has a high-quality aluminium operation benefitting from a top-class workforce and management. This will be our key strength when embarking on our ambitious plans.  Subject to the outcome of the consultation process we look forward to welcoming the team and local community into the global GFG family on completion of the sale.”

Mr Gupta added: 'We want to develop the plant into an international centre of aluminium and downstream aluminium products expertise, demonstrating our GREENALUMINIUM strategy. This investment will help fulfil our ambitions in the sector, further enabling us to capitalise fully on expected growth in demand for aluminium over the coming years.  

“In 2016 we acquired Rio Tinto's Scottish operations, working in partnership with the Scottish Government, where are now building a high-value-added automotive components plant. We look forward to building an equally productive partnership with the French Government.”

'This is GFG's first significant step into continental Europe, which we will hope to build on.  We are particularly attracted by the pro-business environment that President Macron's France is quickly building.  This has motivated our ambition to establish a global hub for the group in France, not only investing heavily in aluminium, steel and automotive, but also bringing our other divisions including energy, banking and property development to explore opportunities in France and Europe, also complementing and supporting Dunkerque.”

Alf Barrios, Rio Tinto's chief executive Aluminium said: “The binding offer for the sale of Aluminium Dunkerque represents the best option for the future development of the site while also delivering value for Rio Tinto as we continue to streamline our portfolio. Liberty House has a track record of investing in similar assets, which should secure a long-term sustainable future for Aluminium Dunkerque and continued economic benefit for the wider community.”.”

Liberty acquired Rio Tinto's aluminium smelter at Lochaber in Scotland in December 2016 and is currently investing £120m to modernise and expand the plant, including the addition of an adjacent alloy wheels factory that will use primary aluminium made on site, creating around 400 direct jobs and a similar number in the supply chain and regional economy.

The binding offer for Aluminium Dunkerque triggers a sale process that includes statutory consultation with employees, relevant European works councils, stakeholders and partners. It is anticipated that the process will be completed, and the sale concluded during the second quarter of 2018. 

The GFG Alliance is being advised by a group of firms led by Lazard

 



Posted by : GoDubai Editorial Team
Viewed 15933 times
Posted on : Thursday, January 11, 2018  
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of GoDubai.com.
Previous Story : SteelFab 2018 showcases the latest metal working technologies at Expo Centre Sharjah
Next Story : Abu Dhabi Quality and Conformity Council Begins Second Phase of Implementation of Abu Dhabi Specific...
Email this article Print this article

Share this article with your friends and followers
NewsVine

Comments

Back to Top  
Most Viewed Press Release posted in the last 7 days
Brow Contour Pro 4-in-1 defining & highlighting brow pencil
Jessica Kahawaty in Dubai to Celebrate the Launch of SUKIN, Australia's No.1 Nat...
BodyO launches officially its AiPod for a full body check-up during the Gitex Fu...
The World of Aigner Wunderkammer
Get flawless skin with Rodial's new Booster Drops
Johnson's launches Fresh Hydration Range – Cleansed, hydrated skin in just #OneSwipe
Manero Peripheral (43 Mm) Classic Watchmaking Meets State of,the Art Technology
Curate your perfect Autumn Winter wardrobe, with Robinsons
Fifi & Friends - Now available at more outlets across the UAE
Corum Heritage Eleganza- Dedicated to the stylish woman
Halloween “Catwoman” mask using BROW products
BOLLYWOOD PARKS™ Dubai introduces 11 new shows with a new line up of performance...
Dubai Shopping Festival Returns With Much-awaited Mega Raffles
With more collections and a more spacious car parking, Kalyan Silks moves to El...
Win up to 250,000 Gold coins at Malabar Gold & Diamonds this festive season
Joyalukkas Celebrates the Festival of Light with Irresistible Offers
OMEGA gets set to time the Youth Olympic Games Buenos Aires 2018
Malabar Gold & Diamonds to triple number of outlets to 750 and raise Group turno...
Dubai's newest social hub - Bar Baar introduces ‘Thela Baar Brunch'
Sharjah Government pavilion highlights digital transformation of Sharjah at GITE...
Hour Choice presents Coach Park Collection (Suede straps)
Introducing the Nokia 7.1 to the UAE
Saddle Up With kate spade Fall 2018
Michael Kors to Introduce a Special-edition Whitney Handbag for the Middle East
W Motors and Safe City Group introduce the BEAST PATROL at GITEX: One of the mo...
Be Thankful with Tub of Butter This Thanksgiving
CITIZEN Unveils 100th Anniversary Limited Edition Collection
Rado DiaMaster Ceramos Automatic
Scuderia Ferrari Aspire Watch Special Edition Gift Set
The Ford F-150 Raptor: Your Ultimate Partner for Off-Road Adventure
Sharjah Girl Guides Unleash their Power on International Day of the Girl Child
Toyota's legendary King goes urban with the 2019 Land Cruiser Grand Touring Edition
Nissan to Make Official On-track Formula E Debut
Western Digital powers AI-enabled storage for futuristic surveillance and security
Sunglasses Trends for Fall/Winter 2018
SIBF 2018 Invites Young Visitors to the Wondrous Land of Edutainment
Provacuno - Spain's largest Inter-professional Association introduces Spanish Be...
UAE Toastmasters community to host the world champion of public speaking
Healthcare leaders sign in Dubai a Call for Action to raise awareness about ‘sil...
Daikin eyes significant expansion of business in the UAE
Delizioso! The Week of the Italian Cuisine in the World Returns to the UAE
Dubai's Jehad Medical Clinic bags JCI for the third time
Synx, Pand.ai, and AIMLedge named winners of startAD's Artificial Intelligence V...
HUGO BOSS Watches Jump Collection
Dubai Business Women Council witnesses 36.5% growth in total membership since th...
Dubai Festival City Run 2018 to take place on November 9th
Epson Introduces the New A3 and A4 business inkjet aimed at busy workgroups duri...
Ministry of Human Resources and Emiratization (MOHRE) Honors Union Coop for its ...
Tissot Bella Ora Round Style incarnate
Avivo's Ribbon of Life Walk in support of Breast Cancer on 19th October