Novelis, the aluminium roller and recycler, mentioned it had sold the previous Aleris plant in Duffel, Belgium to Alvance, the international aluminium business of the GFG Alliance.
Beforehand, the European Fee and Chinese State Administration for Market Regulation identified that Novelis’ acquisition of Aleris, which closed earlier this 12 months, could continue on the affliction that Novelis divest the Duffel plant to a 3rd get together that achieved specified buyer suitability demands. Both equally regulators have now accepted Alvance as a suited buyer and have permitted the sale to be completed.
In November 2019, Alvance agreed to receive the Duffel facility for EUR310m. At closing on thirty September, 2020, Novelis received EUR210m in hard cash. The parties have agreed to a article-closing arbitration procedure relating to the payment of the remaining EUR100m.
The Aleris acquisition presents a potent pro-forma economic profile for Novelis with numerous strategic positive aspects and proceeds to be price accretive, with the extensive expression outlook in line with the first acquisition circumstance.