PARTER Capital Group AG Acquires Avilés and La Coruña, Spain Aluminum Plants from Alcoa
July 31 2019 - 09:11AM
Business Wire
PARTER Capital will maintain both plants’
entire workforce;
Completed transaction follows Alcoa’s agreement
with the workers’ representatives to seek an acquirer for the
facilities
Alcoa Corporation, a global leader in bauxite, alumina, and
aluminum products, today announced the completion of a transaction
with private equity investment firm PARTER Capital Group AG, based
in Schindellegi, Switzerland, for that firm to acquire Alcoa’s
Spanish subsidiaries that own and operate the Avilés and La Coruña
aluminum plants in Spain. The acquisition, effective immediately,
includes the casthouses at both plants and the paste plant at La
Coruña, which are currently in operation, and the curtailed
smelters at both plants.
Under terms of the agreement, PARTER Capital Group will maintain
the facilities’ entire workforce (approximately 630 employees) for
a minimum of two years and has proposed reindustrialization
projects for both sites and a potential restart of the plants’
smelting capacity.
Today’s transaction completes the sale of the plants in
accordance with the collective dismissal agreement signed with the
workers' representatives in January 2019.
“PARTER Capital Group’s acquisition of the Avilés and La Coruña
plants provides the workforce with continued employment and the
local community with ongoing industrial activity,” said Timothy
Reyes, Executive Vice President and President, Aluminum. “This is
the best outcome we could have expected, and we thank the central
government and those of Asturias and Galicia, as well as the
workers’ representatives for their support through this
process.”
“We are very delighted with this acquisition,” said Dr. Rüdiger
Terhorst, Managing Partner at PARTER Capital Group AG. “Together
with the extraordinarily engaged teams in Avilés and La Coruña, we
intend to build a positive and lasting future that includes great
opportunities for the plants in renewable aluminium markets.”
Alcoa will record charges in the third quarter of 2019 related
to these dispositions of approximately $135 million (pre- and
after-tax), or $0.73 per share. Related cash outlays are expected
to be approximately $115 million over the next two years, with
approximately half to be paid in 2019. The cash payments include
$95 million of financial support to PARTER Capital Group for
operating and capital expenditures associated with restarting the
smelters or reindustrializing the sites. (See April 2019 release
for related information.)
About Alcoa
Alcoa (NYSE: AA) is a global industry leader in bauxite,
alumina, and aluminum products, and is built on a foundation of
strong values and operating excellence dating back more than 130
years to the world-changing discovery that made aluminum an
affordable and vital part of modern life. Since developing the
aluminum industry, and throughout our history, our talented Alcoans
have followed on with breakthrough innovations and best practices
that have led to efficiency, safety, sustainability, and stronger
communities wherever we operate. Visit us online on www.alcoa.com,
follow @Alcoa on Twitter, and on Facebook at
www.facebook.com/Alcoa.
About PARTER Capital Group AG
PARTER Capital Group AG, an independent Swiss investment group,
has for more than 20 years successfully specialized in the takeover
of spin-offs from major industrial groups that are no longer core
business or are facing complex situations. PARTER Capital Group AG
invests in traditional industries and manages them as industrial
investors with a long-term goal to strategically realign the
acquired companies and lead them to sustainable growth.
Dissemination of Company Information
Alcoa Corporation intends to make future announcements regarding
company developments and financial performance through its website
at www.alcoa.com.
Forward-Looking Statements
This press release may contain statements that relate to future
events and expectations and as such constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements include those
containing such words as “anticipates,” “believes,” “could,”
“estimates,” “expects,” “forecasts,” “intends,” “may,” “outlook,”
“plans,” “projects,” “seeks,” “sees,” “should,” “targets,” “will,”
“would,” or other words of similar meaning. All statements that
reflect the Company’s expectations, assumptions or projections
about the future, other than statements of historical fact, are
forward-looking statements. Forward-looking statements are not
guarantees of future performance and are subject to known and
unknown risks, uncertainties, and changes in circumstances that are
difficult to predict. Although the Company believes that the
expectations reflected in any forward-looking statements are based
on reasonable assumptions, it can give no assurance that these
expectations will be attained and it is possible that actual
results may differ materially from those indicated by these
forward-looking statements due to a variety of risks and
uncertainties. Additional information concerning factors that could
cause actual results to differ materially from those projected in
the forward-looking statements is contained in our filings with the
Securities and Exchange Commission. The Company disclaims any
obligation to update publicly any forward-looking statements,
whether in response to new information, future events or otherwise,
except as required by applicable law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190731005568/en/
Investor Contact: James Dwyer 412-992-5450
James.Dwyer@alcoa.com
Media Contacts: Jim Beck 412-315-2909 Jim.Beck@alcoa.com
Clara Acebes +34 914068280 Clara.Acebes@alcoa.com
Alcoa (NYSE:AA)
Historical Stock Chart
From Feb 2024 to Mar 2024
Alcoa (NYSE:AA)
Historical Stock Chart
From Mar 2023 to Mar 2024