North Shore-based Arconic completes sale to private equity firm
North Shore-based aerospace parts maker Arconic finalized its acquisition by private-equity firm Apollo Global Management, Inc.
The $5.2 billion deal, which will take the company private, was announced in May.
Arconic will continue to operate under its name and brand.
“The closing of this transaction with Apollo Funds brings new perspective combined with deep industry expertise that will benefit our customers, employees, investors and the communities where we operate,” Tim Myers, Arconic CEO, said in a statement. “With them by our side, we will build on our position as a leading supplier of aluminum products and architectural solutions which provide sustainable value to our customers in the industries we serve.”
Under the deal, Arconic shareholders will receive $30 per share in cash for each share of Arconic common stock owned.
With the deal complete, Arconic’s common stock no longer trades on the New York Stock Exchange.
“We are pleased to complete this acquisition and look forward to leveraging our extensive experience in the aluminum fabrication sector to support the entire Arconic team as a portfolio company of Apollo Funds,” Apollo partners Gareth Turner and Itai Wallach said in a statement. “We believe Arconic’s world-class manufacturing capabilities, metallurgical expertise and talented team position it for continued momentum and success in this next chapter of the company’s evolution.”
Apollo Funds includes a minority investment from funds managed by affiliates of Irenic Capital Management.
Arconic spun out of Pittsburgh-based Alcoa in 2016. Alcoa kept the company’s aluminum commodity business, while Arconic took the aerospace and automotive aspects of the company.
The Alcoa Technical Center off Route 780 in Upper Burrell was renamed the Arconic Technology Center.
In 2020, Arconic split into two businesses. Howmet Aerospace focused on engineering products, and Arconic focused on rolled aluminum products, extrusions and building and construction solutions.
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