Norsk Hydro: acquisition of Sapa now complete.
(CercleFinance.com) - Norwegian aluminium producer Norsk Hydro said on Monday it has bought the 50% stake that it did not already own in Sapa, giving it full ownership of its peer aluminium group.
More specifically, Norsk Hydro's acquisition of Orkla's 50% stake in Sapa has been completed this morning.
This means that Sapa will become a new business area in Hydro, which will consolidate the Sapa financials in its statements as from today.
Consequently, a preliminary purchase price of 11.9 billion Norwegian kronor (about 1.3 billion euros) -- adjusted for net debt and normalized working capital -- has been paid in cash to Orkla.
The agreed enterprise value for 100% of Sapa is 27 billion Norwegian kronor (2.9 billion euros).
The transaction has been financed by utilization of cash positions and drawings from Hydro's revolving credit facility.
Sapa was formed by a 50/50 joint venture between Orkla and Hydro in 2013.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
More specifically, Norsk Hydro's acquisition of Orkla's 50% stake in Sapa has been completed this morning.
This means that Sapa will become a new business area in Hydro, which will consolidate the Sapa financials in its statements as from today.
Consequently, a preliminary purchase price of 11.9 billion Norwegian kronor (about 1.3 billion euros) -- adjusted for net debt and normalized working capital -- has been paid in cash to Orkla.
The agreed enterprise value for 100% of Sapa is 27 billion Norwegian kronor (2.9 billion euros).
The transaction has been financed by utilization of cash positions and drawings from Hydro's revolving credit facility.
Sapa was formed by a 50/50 joint venture between Orkla and Hydro in 2013.
Copyright (c) 2017 CercleFinance.com. All rights reserved.