According to local media reports, Victor Manuel Aguilera, the bankruptcy trustee of Mexican steel company Altos Hornos de México (AHMSA) and its subsidiary Minera del Norte (Minosa), has submitted a revised proposal to sell both companies as a single production unit after the cancellation of the previous auction.
The failure of the auction is due to non-compliance by the bidder and the lender. objections
The original auction scheduled for February 27 was canceled after the only qualified bidder - a consortium formed by Ignition Industries 1870 and Fintech Latam - failed to meet procedural requirements.
In addition, key lenders, including Banco Afirme and Cargill, did not approve the sale because they have loans secured by collateral tied to AHMSA assets and Minos. These two creditors reportedly account for about 46 percent of the companies' total recognized debt, equivalent to about MXN 45.17 billion.
Despite these obstacles, local media reports indicate that Mexican federal authorities have intervened to facilitate negotiations with creditors in an attempt to unblock the process.
The plan aims to maintain integrated operations
The new proposal complies with bankruptcy rules and regulations, the manager said. seeks to avoid fragmentation of company assets. Instead, the plan prioritizes the sale of AHMSA and Minosa as an integrated operating unit, which is considered critical to preserving employment and supporting regional economic recovery.
Uncertainty remains, however, regarding creditor demands, particularly secured creditors' requests to exclude the pledged assets from the sale structure. The final outcome will depend on the decision of the presiding judge overseeing the bankruptcy proceedings.
Outlook depends on the court's decision
The process is expected to move forward once the court determines whether the revised proposal meets legal and financial requirements. If approved, detailed terms of the new auction will be disclosed to interested parties.
Market participants and local industry representatives are closely watching developments as a successful deal could pave the way for the resumption of AHMSA, which has been idle for almost three years.
