Liberty Steel Newport, a steelworks employing around 170 people and part of Sanjeev Gupta's steel empire, is being wound up after entering liquidation. The company, based in Newport, was the first venture in Mr Gupta's steel empire.
Joint liquidators appointed
Mark Fry of Begbies Traynor and Benjamin Wiles and Robert Armstrong of Kroll Advisory were appointed joint liquidators earlier this month after company director Iain Hunter sought to wind up the business voluntarily. A petition to wind up the business was first lodged by creditor Siemens Financial Services in September.
In an update, the joint liquidators have asked creditors to provide details on their debt or claims by November 19. Liberty Steel Newport last filed audited accounts in 2019. The company specialises in the forging, pressing, stamping and roll-forming of metal.
History and creditors
Having previously operated as Mir Steel UK, it was acquired by Mr Gupta through Liberty House Group in 2013. The mothballed steel plant recommenced production as Liberty Steel Newport two years later.
Greensill Capital is a major creditor of the group. Greensill Capital went into administration in 2021 after racking up billions of dollars of exposure to Mr Gupta's empire.
Scope of liquidation
The liquidation of Liberty Steel Newport does not include the assets of separate entity Liberty Steel Property Newport, which had previously held property assets relating to the business. Mr Gupta resigned as a director of Liberty Steel Property Newport at the end of September.
The liquidation process marks the latest insolvency across Mr Gupta's steel group, which has been beset by legal claims and probes from authorities globally following the collapse of Greensill. The Senior Fraud Office has an ongoing investigation into the conduct and financing of businesses with the Gupta Group Alliance, including its financial arrangements with Greensill Capital.
Site and support
Mr Gupta now resides in Dubai, having lived in Monmouthshire. Liberty Steel Newport secured nearly £161,000 in Welsh Government support, the majority through the Economic Resilience Fund set up to support businesses through the pandemic.
Part of the steelworks' 230-acre site on Corporation Road has planning consent for a major new data centre from UK operator Era4.
