South32
Alcoa secures $2.6b debt financing for proposed acquisition of South32’s bauxite, alumina and aluminium assets
Alcoa Corporation has completed a USD 2.6 billion senior notes offering, securing permanent debt financing for the cash component of its proposed acquisition of South32’s bauxite, alumina and aluminium assets. The offering, which closed on September 23, comprises USD 1.5 billion of 6.63 per cent senior notes due 2034 issued by Alumina Pty Ltd and USD 1.1 billion of 6.88 per cent senior notes due 2036 issued by Alcoa Nederland Holding B.V. Both issuers are wholly owned subsidiaries of Alcoa, while the notes are guaranteed on a senior unsecured basis by Alcoa and certain of its subsidiaries. USD 2.6 billion debt backs cash consideration Alcoa intends to combine the net proceeds from the notes with cash on hand to finance the approximately USD 3.1 billion cash portion of the consideration...
$450m in additional annual Capex as Alcoa’s South32 deal expected to improve aluminium cost competitiveness
Alcoa’s proposed acquisition of South32’s assets is expected to improve its position on the aluminium industry cost curve while expanding its operations across bauxite, alumina and aluminium. The transaction includes a bauxite mine and alumina refinery in Western Australia, located next to Alcoa’s existing operations. It also covers South32’s minority interests in the Alumar smelter and refinery in Brazil, along with the Hillside aluminium smelter in South Africa. Alcoa Executive Vice President and Chief Financial Officer Molly Beerman said the assets were a strong strategic fit with the company’s existing portfolio. Hillside uses technology already operating at two Alcoa smelters, allowing the company to apply its existing technical and operational expertise to the acquired assets. Alcoa...
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15th International Bauxite, Alumina & Aluminium Conference & Exhibition - IBAAS–VFMSTA 2026
ICSOBA 2026 - 44th International Conference and Exhibition
India Mining Week 2026
15th International Bauxite, Alumina & Aluminium Conference & Exhibition - IBAAS–VFMSTA 2026
ICSOBA 2026 - 44th International Conference and Exhibition
India Mining Week 2026
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A report that reveals where the aluminium casting industry is heading and how businesses can act.
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A report that reveals where the aluminium casting industry is heading and how businesses can act.
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News
Alcoa prices $2.6b senior notes for South32 bauxite, alumina and aluminium deal
Alcoa Corporation has set the price for a USD 2.6 billion senior notes offering to help finance the cash consideration for its proposed acquisition of South32’s bauxite, alumina, and aluminium assets . Along with the cash on hand, this debt is expected to provide permanent funding for the approximately USD 3.1 billion cash part of the transaction. The offering consists of USD 1.5 billion of 6.63 per cent Senior Notes due in 2034, to be issued by Alumina Pty Ltd, and USD 1.1 billion of 6.88 per cent Senior Notes due in 2036, issued by Alcoa Nederland Holding BV. Both of these companies are fully owned by Alcoa. The notes will be backed by Alcoa and some of its subsidiaries on a senior unsecured basis. The deal is expected to finalise on September 23, 2026, depending on usual closing...
Alcoa strikes $3.1b cash-and-stock deal for South32’s key aluminium assets
Alcoa Corporation is acquiring South32’s key aluminium assets in a USD 3.1 billion deal in cash plus 17,008,960 Alcoa shares, expanding its upstream aluminium portfolio across Australia, Brazil and South Africa. The transaction will also give South32 and its shareholders an equity interest in the enlarged Alcoa business, while backing South32’s broader shift towards copper and other base metals. The update follows Alcoa’s decision to acquire South32’s aluminium value-chain assets with an implied enterprise value of up to USD 5.6 billion. Under the proposed transaction, South32 will initially receive about 6 per cent of Alcoa’s outstanding common stock. At least half of these shares are expected to be distributed to South32 shareholders through an in-specie dividend. Depending on South32’s...
Alcoa files SEC registration for $5.6b South32 alumina, aluminium and bauxite asset deal
Alcoa has moved its proposed acquisition of South32's bauxite, alumina and aluminium interests forward with a US SEC filing, with the transaction carrying an implied enterprise value of up to USD 5.6 billion. Alcoa Corporation has filed a Form S-4 registration statement with the US Securities and Exchange Commission (SEC) in connection with its proposed acquisition of South32 Limited's interests across the bauxite, alumina and aluminium value chain. Under the transaction agreed on June 30, 2026, Alcoa will pay South32 USD 3.1 billion in upfront cash and about USD 1.0 billion in Alcoa shares, while also assuming around USD 750 million in net debt and lease liabilities. A further USD 750 million in contingent cash consideration could become payable depending on alumina and aluminium prices...
South32 aluminium FY2026: Hillside delivers, Brazil recovers, Worsley takes price hit
South32 delivered a stronger FY26 financial performance , with underlying revenue rising 7 per cent to USD 8.11 billion, reinforced by higher commodity prices and stronger operating performance. Within its aluminium portfolio, Brazil Aluminium and Hillside Aluminium recorded significant earnings improvements. The year also marked a strategic turning point, with South32 agreeing to sell most of its aluminium value chain assets to Alcoa for up to USD 5.6 billion. CEO Matt Daley stated, “Strong operating performance coupled with commodity price tailwinds underpinned one of the best financial results in our history, with Group Underlying EBITDA increasing by 28 per cent to USD 2.5 billion and Underlying earnings increasing by 55 per cent to USD billion.” Explore- Most comprehensive and...
Alcoa-Hillside deal supports South Africa’s aluminium industry growth ambitions
Alcoa’s proposed acquisition of South32’s aluminium assets in Australia, Brazil and South Africa is an important development for the global aluminium industry, particularly for South Africa’s primary aluminium production. Aluminium Federation of South Africa (AFSA) CEO, Muzi Manzi, said, “On July 1, South32 signed a binding conditional agreement to sell its aluminium value chain assets…to US-based Alcoa.” The deal was valued at up to USD 5.6 billion and included the Hillside Aluminium smelter in Richards Bay. The transaction is expected to close in the first half of 2027, subject to shareholder and regulatory approvals. For South Africa, the key point is Hillside. The smelter is the country’s only primary aluminium smelter. Alcoa has said that its acquisition will keep Hillside operating...
Mozal aluminium shutdown cuts 30% of South32 output, triggers $117m charge
South32 has recognised exceptional costs of USD 117 million after the closure of its Mozal aluminium smelter in Mozambique , as an unresolved power deal impasse with the Mozambican government keeps operations stalled. The Mozal smelter, one of Africa’s largest aluminium producers with a 560,000-tonne annual capacity, entered care and maintenance on March 15 after negotiations over electricity tariffs failed. South32 has maintained that aluminium production is no longer commercially viable under the current power pricing structure, with electricity accounting for the plant’s highest operating cost. Explore: The most comprehensive and forward-looking industry-focused report — Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Report Mozal, a USD 2 billion...
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