British Steel’s Chinese owners weigh attempt to recover millions in debts | British Steel

British Steel’s Chinese owners are preparing to try to recover hundreds of millions of pounds of loans from the company after the UK government took over its activities.

Jingye Group is thought to have evaluated the chance to rescue hundreds of millions of pounds of debts by British Steel and consulted at the accounting company to make a valuation for business at the PWC.

The worker government planned to allow Jingye to allow it to explode in Scunthorpe, after the British Steel’s operations in April and took control of the emergency legislation. This would lead to 2,700 emergency business cuts and the symbolic loss of the UK’s ability to make steel from the iron ore.

Jingye is still the legal owner of the British Steel, despite taking over. According to previously released accounts, the British Steel owed £ 711 million to Jingye businesses at the end of December 2023.

Most of these debts owe 434 million pounds to Jingye’s Chinese subsidiaries. Another € 312.5 million (£ 266 million) Jingye’s British holding company Jingye Steel (UK) Holding Ltd.

In the newly published accounts for the UK company, Jingye said, “Currently, these balances have evaluated the recoverage and a commercial settlement potential”. However, because of the complexity of the regulations and the ongoing nature of the debate, it is not yet possible to rely on the amount or timing of any improvement in a reliable way, ”he warned.

Accounts show that Jingye is preparing to negotiate with the government of debt repayment. These debts would probably have been erased in the liquidation planned by Jingye, but the government would be protected by the intervention.

The Financial Times has previously reported that the government has previously considered the legislation of the debt, but it will probably create significant opposition from investors, because it will represent the direct expropriation of specially held beings.

Jingye also said that the business expects a “commercial solution ve about the ownership of the business and that she hoped to receive a payment for the stock. Sky News, the law office Linklars’ı engaged in advice to accumulate money.

According to a person with business knowledge, PWC is preparing a valuation of British Steel’s assets. PWC previously advised Jingye to take over the British Steel in 2020 during the agreement process.

PWC refrained from commenting. British Steel refrained from commenting. Jingye was approached for a comment.