Spain’s largest privately owned company Celsa has been taken over by its creditors after the previous family owners failed to agree a debt restructuring deal.
The steelmaker was owned by the Rubiralta family, but they could not agree a restructuring plan for €3 billion (£2.57 billion) with creditors including Deutsche Bank, Attestor, Anchorage, GoldenTree and SVP.
As a result of a ruling by a local court in Barcelona, these creditors have now presented a restructuring plan that involves the creditors owning 100% of Celsa’s capital by converting €1.352 billion (£1.16 billion) of debt into equity and part of a jumbo loan, while the existing debt maturity will be extended by five years.
Celsa recycles ferrous scrap to produce steel using electric arc furnaces. It is present in Spain, France, UK, Denmark, Finland, Norway, Poland, Sweden and Ireland.