France agreed to inject about €5 million to support operations at the Ascoval steel plant at Saint-Saulve, Reuters reported Feb. 2, citing Finance Minister Bruno Le Maire.
The deal guarantees activity at the plant for another year, while a potential buyer is sought for the asset.
The Hauts de France region, Swiss specialist steel producer Schmolz + Bickenbach AG and steel pipe maker Vallourec also agreed to create a €14 million fund to help employees if there are future job cuts.
Ascoval, a joint venture between Ascometal SA and Vallourec SA, employs about 300 people, but the move is expected to save several hundred jobs.
Schmolz + Bickenbach recently won a bid to acquire the troubled Ascometal, but Ascoval was left out by the rescue.
