According to what we understand, this would be the position of the multinational following the breakdown of negotiations with the government
ArcelorMittal would be willing to fall into the minority but control over governance must remain shared at 50%. This, according to what we learn from sources close to ArcelorMittal, is the position of the French-Indian multinational following the break with the Government on the future of the former Ilva group.
“ArcelorMittal is in favor of Invitalia paying a further 320 million euros of fresh capital to support Adi’s operations, with its consequent 34% dilution”, explain the same sources, noting however that Invitalia’s “funding proposal and 34% dilution of ArcelorMittal also provides for the termination of the 50% shared control between the two shareholders”. It is – it is underlined – a “shared control from which Invitalia currently benefits, holding a very similar share, equal to 38%. The cessation of shared control goes in the opposite direction to all the discussions that have taken place.”
Mittal on the other hand, the same sources continue, “would have expected to be able to continue to exercise the role of industrial partner of Invitalia, with the same 50% control status even with reversed share weights”.
“ArcelorMittal – the sources underline – has to date invested in Adi a capital of 1,870 million euros in equity as well as more than 200 million euros for the purchase of raw materials and other commercial guarantees. The Italian state has invested 1,080 million so far. The Environmental Plan was completed in line with what was foreseen in the Investment Agreements, with total resources employed of around 2 billion euros”, the sources further explain, adding: “At the time of the investment of 400 million in Adi by of Invitalia, equal to 38% of the company, ArcelorMittal has agreed to share 50% control and governance on the basis of the commitment to provide public support measures up to 2 billion euros”. Instead, it is underlined, “to date, only 350 million of public measures have been provided by Invitalia and the Italian Government”.