Aurubis to sell part of rolled products business to KME (updated)

KME SpA

17/02/2022 07:39

(Adds detail, statements from both companies)
    HAMBURG, Feb 17 (Reuters) - Aurubis AG  NAFG.DE , Europe's
biggest copper producer, said on Thursday it had signed an
agreement to sell some of its flat rolled products (FRP)
division to KME, part of Italy’s Intek Group S.p.A.  IKG.MI .
    An initial agreement for the sale was signed in August 2021.
    Aurubis gave no value for the deal. Intek said separately
the purchase price was expected to be around 8 million euros ($9
million) plus the value of the net working capital of the assets
at closing date, calculated in June 2021 at 67 million euros.
    KME will take over Aurubis' FRP plants in Zutphen in the
Netherlands, plus slitting/cutting centres in Birmingham in
Britain, Dolny Kubin in Slovakia, and Mortara in Italy, with a
total turnover of about 280 million euros and about 360
employees, Intek said.
    The transaction does not include other Aurubis FRP plants in
Buffalo in the United States, Stolberg in Germany and Pori in
Finland.
    The deal is expected to close in summer 2022 following
approval by national competition authorities, Aurubis said.
    European Union competition authorities had in February 2019
vetoed a plan by Aurubis to sell the FRP business to Germany's
Wieland-Werke AG, saying the move could have pushed up consumer
prices. 
    Aurubis then said it would seek alternative buyers for an
asset it does not consider part of its core business. 
    Intek said the deal was part of KME's drive to focus on
copper and copper alloy rolled products, while boosting
manufacturing know‐how and its product portfolio to improve
operational efficiencies.
    ($1 = 0.8804 euros)

 (Reporting by Paul Carrel and Michael Hogan
Editing by Mark Potter)
 ((michael.j.hogan@thomsonreuters.com;))