London-based Anglo-Australian mining multinational Rio Tinto has completed the sale of its Aluminium Dunkerque facility in France to GFG Alliance member Liberty House Group for around US$500mn
The facility, Europe’s largest aluminium smelter, is to be renamed Liberty Aluminium Dunkerque and will form the basis for GFG’s plans to develop a larger integrated manufacturing business to supply the French and European markets.
“Today is a real milestone in our European investment journey and the fulfilment of our promise to establish a firm foundation for a new vibrant and integrated industrial business in France that will create high-value products that sustain high-value jobs,” said GFG Executive chairman Sanjeev Gupta in Liberty’s press release.
“It is a great pleasure to welcome the Liberty Aluminium Dunkerque workforce into the worldwide GFG family and we look forward to mutual sharing of experience and resources across borders that will enable us to expand powerfully in key industries such as the automotive sector.”
Jay Hambro, Chief Investment Officer of GFG Alliance, added:
“Liberty Aluminium Dunkerque is a high-performing, profitable asset with modern equipment, excellent transport connections to key markets and high-skilled workforces. There is great potential for expansion, further modernisation and the application of GFG’s GREENALUMINIUM strategy.”
In its own statement, Rio Tinto said the proceeds from the sale will be returned to shareholders, adding that the scheduling and manner of this return will be announced alongside the firm’s 2018 full year results.