GFG Alliance’s Whyalla operations now have a secure future, with refinancing now finalised.
Owner of the steelworks, GFG Alliance, agreed to a debt restructuring with Credit Suisse Asset Management for its Liberty Primary Metals Australia business, comprising the mining and steel business at Whyalla.
GFG’s major supply chain financier, Greensill Capital, filed for insolvency in the UK in March, with Citibank lodging an application in the New South Wales Supreme Court to wind up operations of GFG’s OneSteel manufacturing.
If the legal action was successful, the Whyalla Steelworks could have been put into liquidation.
In a statement, Whyalla Mayor Claire McLaughlin said it was fantastic news to have confirmation of the refinancing and the announcement should put an end to the ongoing negative speculation surrounding the city.