Alcoa to Buy Aluminum Assets From South32 in Deal Valued up to $5.6B (AA:NYSE)
The cash-and-stock deal adds 3.2 million tons of annual aluminum output and 14.8 million tons of alumina, Alcoa said.
- On Wednesday, July 1, 2026, Alcoa Corp. agreed to purchase South32 Ltd.'s bauxite, alumina, and aluminum assets for up to $5.6 billion, expanding its operations across Australia, Brazil, and South Africa.
- Strengthening its 'mine-to-metal' platform, Alcoa aims to meet rising demand from the energy transition, artificial intelligence, and aerospace. President William Oplinger called it 'exactly the type of opportunity Alcoa is built to execute.'
- The buyer will pay $3.1 billion in cash and about $1 billion in Alcoa shares, while assuming $750 million in net debt and lease liabilities; operational synergies are projected to generate about $900 million in net present value.
- Annual production will rise to 3.2 million tons of aluminum and 14.8 million tons of alumina, while South32 shareholders will hold about 6% of the combined company. South32 will refocus on copper, manganese, and zinc-lead-silver projects.
- Subject to regulatory and shareholder approvals, the transaction is expected to close in the first half of 2027. South32 could receive an additional $750 million if commodity prices exceed agreed thresholds over the next four years.
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30 Articles
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Corporates Key Facts —The deal. Alcoa agreed to buy South32’s bauxite, alumina and aluminum interests for about $4.1bn upfront on June 30. —Structure. The price is $3.1bn in cash plus about 17 million new Alcoa shares worth roughly $1bn, near 6% of the company. —Brazil. The assets include South32’s stakes in the Alumar complex in […] The post Alcoa Buys South32 Aluminum Assets for $4.1bn, Deepening Brazil appeared first on The Rio Times.
Alcoa announced on Tuesday (30) a definitive agreement to acquire South32 shares in bauxite, alumina and aluminum assets valued at about $4.1 billion in a transaction involving money and shares. The agreement involves operations in Australia, South Africa and Brazil — including shares in the Rio do Norte Mining (MRN) and the Alumar industrial complex — in addition to a conditional additional payment of up to $750 million, based on the future per…
Sydney Morning Herald
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