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14 NOVEMBER 2017 AL CIRCLE

Zhongwang withdraws proposed acquisition of Aleris

EDITED BY : HEENA IQBAL 1MINS READ

The acquisition deal between China Zhongwang and Cleveland’s Aleris Corporation has been called off on November 12, 2017. Aleris Corporation announced in a press release on Monday that the merger agreement will not proceed following the Committee on Foreign Investment in the United States (CFIUS) did not approve.

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“In July 2017, CFIUS raised concerns about the transaction, and the parties withdrew their filing while extending the merger agreement to allow for additional discussions,” according to Aleris press release.

Sean Stack, Aleris Chairman and CEO said.  "While this is not the outcome we intended, we remain committed to our growth strategy and have made great strides over the past year in expanding our capacity and developing the capabilities required to meet the future demands of our industry. This includes our automotive expansion project in Lewisport, KY, which is beginning to serve customers."  

In August 2016, Aleris Corporation, a global aluminium rolled products producer, announced that it had entered into a definitive agreement to be acquired by Zhongwang USA LLC.


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EDITED BY : HEENA IQBAL 1MINS READ

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