15 JUNE 2016www.bizjournals.com
Noranda Aluminum seeks to sell Missouri smelter
Edited by : AL CIRCLE
2 min read
Bankrupt aluminium producer Noranda is seeking bankruptcy court approval to sell off its so-called upstream business, including its now shuttered smelter in New Madrid, Missouri.
Tennessee-based Noranda Aluminum Holding Corp. said Monday it had filed a request in bankruptcy court for approval for bidding procedures to sell "all, or substantially all" the assets of its primary aluminium business. In addition to the smelter in southeast Missouri, that business includes a bauxite mine in St. Ann, Jamaica, and a refinery in Gramercy, Louisiana.
The company said it expects its motion to be heard July 14 by the bankruptcy court. Under its proposed bidding procedures, the deadline for submitting qualified bids is Sept. 15, with an auction set for Sept. 22, if there are multiple bids submitted. A hearing to approve the sale would take place Sept. 27, officials said.
Separately, Noranda said a subsidiary of Granges AB has agreed to serve as a "stalking horse" bidder in a court-supervised sale process for its flat-rolled products business. The agreement values the business at $302.5 million.
Noranda filed for Chapter 11 bankruptcy protection in February, saying challenging market conditions in the aluminium industry and disruptions in its main business operations led to the decision to file.
Noranda was Ameren Missouri's largest customer before the aluminium company idled its smelter in New Madrid in March.
Tennessee-based Noranda Aluminum Holding Corp. said Monday it had filed a request in bankruptcy court for approval for bidding procedures to sell "all, or substantially all" the assets of its primary aluminium business. In addition to the smelter in southeast Missouri, that business includes a bauxite mine in St. Ann, Jamaica, and a refinery in Gramercy, Louisiana.
The company said it expects its motion to be heard July 14 by the bankruptcy court. Under its proposed bidding procedures, the deadline for submitting qualified bids is Sept. 15, with an auction set for Sept. 22, if there are multiple bids submitted. A hearing to approve the sale would take place Sept. 27, officials said.
Separately, Noranda said a subsidiary of Granges AB has agreed to serve as a "stalking horse" bidder in a court-supervised sale process for its flat-rolled products business. The agreement values the business at $302.5 million.
Noranda filed for Chapter 11 bankruptcy protection in February, saying challenging market conditions in the aluminium industry and disruptions in its main business operations led to the decision to file.
Noranda was Ameren Missouri's largest customer before the aluminium company idled its smelter in New Madrid in March.
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