Orkla puts up 83 percent shares of Granges for public offering

Granges, the Swedish aluminium subsidiary of the Norwegian company Orkla, has been put up for public offering by the parent company. The initial offer for it has been tagged at an amount between 3.1 billion and 3.7 billion Swedish crowns ($426-508 million).

Orkla has been shedding off its metal assets as it is concentrating more on consumer goods recently thus they are offering up to 83 percent of the company at the same time listing the company on the Stockholm Stock Exchange on Oct 10.

With the aluminium looking good for the first time in years, as a rolled aluminium producer, Granges should find a good market demand.

Orkla confirms on Monday that it will offer up to 83 percent of the total number of shares in Granges, or 61.8 million shares. The shares will be put up on sale at rates ranging between 42 and 50 Swedish crowns per share.

The reason for the sale is primarily due to the parent company’s shift of interest who are busy buying branded goods business like Rieber & Son purchased in 2012, turning away from the metal businesses.