Sale of Alphasteel to Libala Ltd Completed

Chris Morris and Mark Fry of Begbies Traynor, a leading business rescue, recovery & restructuring specialist, as the joint administrators of Alphasteel Ltd, announce the completion of the sale of the Alphasteel plant and certain other of its assets to Libala Ltd (“Libala”), a company affiliated to Mirinvest which is controlled by Vadim Varshavsky and is an investment vehicle with interests in a number of steelmaking plants.

The deal was completed on 14 July 2008, for a consideration of approximately £57m.  At this early stage it is not possible to comment in detail on future plans for the Alphasteel plant; Libala will make a further announcement on this as and when it is appropriate to do so.

Mark Fry, Joint Administrator, commented:

“We are pleased to have completed this deal with Libala, which represents a very positive outcome for Alphasteel, and should secure the future of the plant.”