Hamilton

Hamilton steel company fails to secure buyer, will be liquidated

Hamilton Specialty Bar will be liquidated after failing to secure a bid to keep it running.

'It is extremely disappointing for the situation to have come to this point': Steelworkers union

Local steelmaker Hamilton Specialty Bar entered receivership in January. (Kelly Bennett/CBC)

After three tumultuous months, the future of a century-old Hamilton steel company is now clear. Hamilton Specialty Bar will be liquidated.

Monday was the deadline for the company to be kept alive by a last-minute bid. 

But that bidder failed to present a "going concern" offer to a judge Monday morning.

It is extremely disappointing for the situation to have come to this point, for our members, our pensioners and the community.- Tony DePaulo, assistant to the Ontario director, United Steelworkers
In a statement, Tony DePaulo, assistant to the Ontario director of United Steelworkers said the bidder had been "diligently" working toward arranging a bid that would keep the company running, but failed to meet today's deadline. 

"There is still hope that the group interested in operating HSB as a steel plant can reach an agreement with the liquidation company to buy the mill before the assets are lost," DePaulo said in the statement.

"But it is extremely disappointing for the situation to have come to this point, for our members, our pensioners and the community."

USW Local 4752 represents more than 200 HSB employees. 

The company has been in trouble since January, when its doors were suddenly shut and its operations sent into a receivership under the control of a trustee.

The company also employed about 50 salaried workers. Another 400 retired workers and their families are also affected.

The union will be holding an information meeting for members on Tuesday at 6 p.m. at the Steelworkers Hall on Barton Street.