At a glance
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- True sustainability can deliver long-term, generational economic, social and environmental prosperity and security, but to make impact of that magnitude change needs to happen at scale.
- As a private group we explore and access sources of business financing to support growth and our focus on unlocking value and preserving valuable jobs.
GFG Alliance will continue to explore all sources of business financing to continue its strategy to stimulate and drive advanced manufacturing, writes Sanjeev Gupta.
I’ve made no secret of our strategy to stimulate the revival and regrowth of industries, and drive innovation in advanced manufacturing around the world.
True sustainability can deliver long-term, generational economic, social and environmental prosperity and security.
To make impact of that magnitude, change needs to happen at scale. Our acquisition strategy has seen our family of companies grow dramatically in the past few years. Our recent acquisitions of seven steelworks across six European countries has taken our workforce to 35,000.
Such growth – by an unlisted company – has naturally attracted attention and speculation about underpinning financing. Our group, a networked ecosystem of independent businesses, includes generally high cash generative businesses, along with those yet to mature and in the case of some steelworks, fresh investment and the need for turnaround. This mix provides resilience, knowledge sharing and balanced outcomes across the supply chain.
We have demonstrated in the countries we operate within around the world, a commitment to a long-term sustainable future for steel and aluminium, and we’re willing to restart operations that have been mothballed and shunned by traditional financial markets.
It also requires capital.
Alternative finance sources
I’m on the public record with our group’s long-term intention to transition to the public markets as our businesses coalesce. This in turn will bring greater reporting obligations and requirements for transparency.
But we are not there yet.
As a private group we need to explore and access other sources of capital, such as supply chain finance and asset-based lending to support our strategy. These sources of business financing enable our acquisition strategy, supporting growth and our focus on unlocking value and preserving valuable jobs at scale.
I firmly believe our strategy, which is based on use of renewable power, recycling and vertical integration, presents a genuine opportunity to secure the future of cyclical industries.
Like any entrepreneurial venture, and I’ve been involved in many, I expect bumps on the road ahead.
This is a long-term strategy, and one set to deliver enormous benefits not only to industries and communities, but to the partners who have already joined us, and the future investors motivated and ready to share our journey.