An industrial aluminum company headquartered in Atlanta, Georgia, recently received approval of its proposed acquisition of an Ohio-based aluminum rolled products producer, which would increase its capacity to provide lightweighting materials for the automotive market.
The European Commission announced approval for Novelis Inc. to acquire Aleris Corporation, conditioned upon the sale of Aleris’ plant in Duffel, Belgium, which produces aluminum for the automotive and specialties markets. Novelis is working expeditiously to market the plant to potential buyers, with the chosen counterparty and the definitive agreement for divestiture subject to European Commission approval.
With this conditional approval in the European Union, as well as a clear path forward for approval in the U.S., Novelis focuses on obtaining approval from the Chinese State Administration for Market Regulation (SAMR).
“Today’s announcement is another step forward in bringing Novelis and Aleris together, which will benefit our customers, employees, and the aluminum industry as a whole,” said Steve Fisher, president and CEO, Novelis Inc. “Overall, this transaction will strengthen our ability to compete against steel in the automotive market, meet growing customer demand for aluminum, achieve our recycling goals, and bolster our sustainability platform worldwide. In addition, it will further enhance our strategic position in Asia and diversify our overall product portfolio.”
The company expects to close the transaction by January 21, 2020, the outside date under the merger agreement.
