Due Diligence for Lenders and Investors
Operated by Metals Consulting International (MCI), SteelOnTheNet offers independent due diligence on steel and metals assets to banks, funds, shareholders, acquirers and the advisers who act for them.
Before a loan is agreed, a stake acquired or a plant bought, our metal sector experts test the assumptions behind the deal: whether the market is there, whether the plant can do what the business plan says it will, and whether the numbers hold up. We have no equipment to sell and no stake in the outcome, so our conclusions are our own.
Since 2005 we have completed 20 single-country due diligence assignments in 15 countries, most of them for lenders and investors, and a further 18 asset and business valuations sit within or alongside that work. Since 2021 we have also carried out steel sector due diligence investigations in eight more countries under a specialist retainer with a multilateral development bank. The full record, by region and country, is in our project experience record.
To discuss a transaction in confidence, call us on +44 775 149 0885 or e-mail us.
What Our Due Diligence Covers
Assignments are scoped to the decision in hand. A lender may need a full review; an investor may need a quick red flag view on one issue. Most work draws on some or all of the following.
| Workstream | Typical questions |
|---|---|
| Market | Is demand in the target market real and durable? How exposed is the business to imports, competitor capacity and price cycles? Are the price assumptions in the plan realistic? |
| Technical | What condition is the plant in? Can it reach its stated capacity and product mix? Is the capex plan complete, and is commissioning or ramp-up on track? |
| Financial | Does the business plan and financial model stand up? How do operating costs compare with competing plants? What are the assets worth? |
| Environmental | What emissions, permitting and decarbonisation issues could affect the investment case? |
Types of Assignment
- Lender reviews — independent market, technical and financial reviews for banks ahead of lending, often with an asset valuation.
- Lender's engineer — monitoring of construction or operations, plant status reports and production certificates during the life of a loan.
- Acquisition and investor due diligence — commercial and techno-commercial reviews of steel businesses before purchase or investment, including privatisations.
- Red flag reviews — fast, focused reviews of a business plan and financial model to find the issues that matter before committing further. Our podcast on red flags in steel mill due diligence sets out six of the most common.
- Commissioning and ramp-up — technical review of new plants as they start up, for investors and their advisers.
- Technology due diligence — assessment of new process technologies from a steel and EAF perspective.
Selected Assignments
Most due diligence touches on live transactions, so clients and assets are not named here.
- Lender reviews and asset valuations of three welded tube and pipe plants in the UAE, Egypt and Kuwait, for a leading Middle Eastern bank (2013–2016).
- Market, technical, financial and environmental due diligence for a leading Nigerian metals producer (2009).
- Steel sector due diligence investigations in eight countries for a leading multilateral development bank, under a specialist retainer held since 2021.
- Commercial due diligence on an integrated steel producer in Türkiye ahead of its privatisation (2005).
- Due diligence across a European long products group with operations in five countries, for an international consultancy (2023).
- Technical due diligence on the commissioning and ramp-up of a hydrogen-based iron and steel plant in Europe, for an international engineering consultancy (2025).
- Lender's engineer appointment for a copper pipe plant in the Gulf, including monthly operations reviews and a production certificate (2020–2022).
Fuller anonymised accounts are in our case studies. See also our guides for the banking professional and investment analyst, our independence policy and our code of conduct.
Main Terms and Conditions
Each due diligence assignment is scoped and priced individually, and set out in a written proposal. Before accepting an instruction, MCI checks for conflicts of interest with the parties to the transaction.
Where necessary and at the Client's request, MCI and/or the Consultants can sign a standard letter of confidentiality or non-disclosure agreement prior to project commencement. Finalised reports will be delivered to the client in electronic form.
This service is provided at the discretion of MCI's management, who reserve the right to decline or withdraw from an assignment because of potential conflicts of interest or for other professional or economic reasons.
A full schedule of MCI's general terms and conditions of engagement is issued with all proposals.