Nyrstar link to Arrium buyout bid

RECRUIT: According to the Australian Financial Review, a key executive from Nyrstar has been hired by Liberty house to lead their buyout bid for Arrium.

RECRUIT: According to the Australian Financial Review, a key executive from Nyrstar has been hired by Liberty house to lead their buyout bid for Arrium.

The Australian Financial Review has reported that British company Liberty House/SIMEC hired a key executive from European metals company Nyrstar to lead its buyout bid for Arrium.

According to the newspaper, the two companies have appointed Michael Morley to the role of development director for the firm's bidding vehicle known as the GFG Alliance.

Mr Morley was formerly the senior vice-president for metals processing at Nyrstar where he was in charge of 3000 people across seven sites in Europe, the US and Australia.

Nyrstar runs the Port Pirie lead smelter which is undergoing a $660 million overhaul for which Mr Morley played a key role in negotiations for a $291 million loan guarantee from the South Australian Government. 

KordaMentha is in the final stages of the sale process with Liberty House/SIMEC and South Korea's POSCO being reported as the final two bidders.

Mr Morley said the GFG Alliance had ambitious plans but said opportunities abounded for those with the right strategy and vision.

"There are big opportunities in Australia for metal producers who have ambition and innovative business models," he said.

He said Liberty and SIMEC had a bold vision for a vertically-integrated and sustainable steel business that encompassed mining, liquid metal production, engineering and distribution.

It would also include metal recycling and the use of renewable energy.

"It's an exciting strategy that they are already pursuing successfully in the United Kingdom," he said.

Liberty House executive chairman Sanjeev Gupta said it was a big plus for the GFG Alliance because Mr Morley had a long list of achievements in the metals sector.

"We're looking forward to working with him to establish a firm foothold in Australia and grow a market-leading business there," Mr Gupta said. 

Mr Morley has been working behind the scenes with Liberty House, and his appointment was officially announced on Thursday.

Nyrstar is listed on the stock exchange in Belgium and has its corporate headquarters in Switzerland.

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