Aluminum producer and recycler Novelis Inc., Atlanta, says it has received the final clearance needed to complete its acquisition of Cleveland-based Aleris Corp., a global supplier of rolled aluminum products.
Previously, the European Commission determined that the acquisition could proceed if Novelis divested Aleris’ plant in Duffel, Belgium, to a third-party approved by the commission. Novelis says it satisfied that condition when the European Commission determined the proposed purchaser, Liberty House Group, was a suitable buyer. Liberty House Group, which is a part of the London-based GFG Alliance, intends to acquire the Duffel facility for 310 million euros ($337 million) under its newly formed aluminum vertical called Alvance.
Paris-based Alvance is the international aluminum vertical, part of the GFG Alliance, which brings together assets across the aluminum supply chain, from raw materials through to finished components. With a total current capacity of 332,000 metric tons of primary aluminum produced per year, Alvance owns and operates Europe's largest aluminum smelter in Dunkerque, France, as well as the only smelter in the United Kingdom, Alvance British Aluminium. The company’s downstream portfolio includes France's only manufacturer of aluminum wheels, Alvance Wheels Chateauroux, and engine cast component producers Alvance Aluminium Technologies and Alvance Cast Products.
“Novelis has completed the regulatory review process and is now prepared to close the acquisition and begin integrating Aleris into Novelis,” says Steve Fisher, the company’s president and CEO. “This will allow Novelis to further extend our position as the world leader in aluminum rolling and recycling and meet increasing customer demand for high-performing, sustainable aluminum solutions.”
With the European Commission's approval of the buyer, Novelis says it has received all regulatory clearances and will move quickly to close the acquisition of Aleris.
Novelis is a subsidiary of Hindalco Industries Ltd., an industry leader in aluminum and copper and metals flagship company of the Aditya Birla Group, a multinational conglomerate based in Mumbai, India.