Current bidders interested in Essar Algoma Steel say they plan on combining operations with another bankrupt steel maker, U.S. Steel Canada Inc. That according to business magazine bloombergtv.ca
Those interested include, Bedrock Industries a New York based private equity firm, the parent company of Essar Steel Algoma as well as ERP Compliant Fuels who has bid $1.5 billion for U.S. Steel Canada and picking up the assets of the Sault Ste. Marie plant.
A consortium of banks led by Deutsche Bank AG, who arranged financing for Essar Algoma of $200 million, is also believed to be kicking the tires to pick up the assets.
The bids for U.S. Steel, based in Hamilton Ontario, were due yesterday.
Essar Steel Algoma started the sale process in early February of this year.