Indian industrialist Navin Jindal's Jindal Steel International has submitted a bid of over $1 billion for Acciaierie d’Italia (ADI), which has been put up for sale by the Italian government. This offer not only includes the acquisition of the company but also the modernization of the main steel plant in Taranto. However, experts suggest that the investment required for ADI to reach full capacity could be significantly higher than this amount.
Jindal Steel International's biggest competitors include an Azerbaijani consortium consisting of Baku Steel Company and Azerbaijan Investment Company, as well as the American fund Bedrock Industries Management. Additionally, some Italian companies have also entered the race to acquire parts of ADI’s assets.
Currently, ADI's maximum steel production capacity stands at 10 million tons per year, but the target for 2025 is only 3.5 million tons. Navin Jindal has stated that if the acquisition goes through, the plant will be renovated, and traditional blast furnaces will be replaced with environmentally friendly electric arc furnaces.
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