Post by Alcoa

Today, Alcoa announced that it has entered into a definitive agreement to acquire South32's bauxite, alumina, and aluminum assets in a cash and stock transaction for an upfront consideration of US$4.1B. Including lease-related debt assumed by Alcoa, the transaction represents an implied enterprise value of approximately US$4.7B. Alcoa has also agreed to provide South32 with a contingent value right (CVR) of up to US$750M. “This is exactly the type of opportunity Alcoa is built to execute,” said Bill Oplinger, President and Chief Executive Officer of Alcoa. “These high-quality, globally relevant assets are a strong strategic fit within our portfolio and align directly with our strengths as a leading pure-play upstream aluminum company. With our proven operating model and global capabilities, we are well positioned to enhance performance, unlock value, and support their long-term success within Alcoa.” The acquisition will add a high-quality, low-cost, and globally diversified set of mining, refining and smelting assets, further strengthening Alcoa's mine-to-metal platform, expanding its global footprint, and increasing the Company's ability to generate sustainable long-term value for shareholders. Full Release: https://bit.ly/449yrLd