Bahrain's Alba is acquiring the largest aluminum plant in the EU
Aluminium Bahrain B.S.C. (Alba) of Bahrain has agreed to acquire Aluminium Dunkerque, the largest aluminum plant in the European Union. The deal could strengthen the Middle Eastern manufacturer’s position in the European industrial market.
The deal is valued at approximately $2.2 billion. Bpifrance, a French investment bank, has also joined the deal and will acquire a minority stake in the company.
Alba is one of the largest aluminum producers in the Middle East, with a total capacity of over 1.62 million tons per year.
The current owner of Aluminium Dunkerque is the American company American Industrial Partners. The plant produces approximately 300,000 tons of aluminum annually.
Upon completion of the transaction, Alba will acquire 100% of the shares in Aluminium Dunkerque. The transaction is fully financed by a consortium of Alba’s banking partners.
Following this, Bpifrance will invest approximately €100 million in the plant, representing a 6% stake in Aluminium Dunkerque, subject to the completion of customary approvals.
Bpifrance will also have a seat on the board of directors of the holding company Aluminium Dunkerque.
This is stated in a press release on Alba’s website.
As a reminder, aluminum prices have risen to a four-year high due to the blockade of Iranian ports.
