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This is a further tranche of Italian state support to Acciaierie d'Italia (AdI, formerly ILVA), the operator of Europe's largest integrated steel plant at Taranto, following the EUR 200 million continuity-financing decree of June 2025. AdI has been under extraordinary administration (state-supervised insolvency) since February 2024, and the government is running a tender process to find a buyer for the business. Pending that sale, AdI faces a projected liquidity shortfall to cover routine operating costs — supplier payments and roughly 10,000 employees' wages. The European Commission assessed the EUR 390 million loan under EU rescue-aid rules and found it compliant because the amount is capped at the projected shortfall, carries a market interest rate, and is limited to a maximum six-month term — the standard conditions that distinguish a "rescue" aid from an open-ended subsidy.
Severity is set at 3 (moderate) on a quant basis: EUR 390m is a larger, time-bound bridge facility rather than a step-change in industrial policy, consistent with the severity assigned to the prior EUR 200m tranche.
state-backed liquidity injections keep Taranto operating without resolving the underlying ownership question.
structural aid package is likely if the sale/tender process is not concluded within that window.
Commission's approval here is contingent on the loan meeting narrow "rescue aid" criteria, not a general clearance for further capital.
restructuring aid if a buyer is not found within six months.
administration filing, inclusive of this tranche and the June 2025 EUR 200m decree.