Alba and Ma’aden Eye Major Aluminium Business Merger, Initiate Due Diligence
The potential merger would position the combined entity as one of the largest aluminium producers globally, offering numerous strategic advantages, including increased production capacity, a broader global presence, improved environmental, social, and governance (ESG) performance, enhanced energy security, and greater shareholder value.
HE Khalid Al Rumaihi, Chairman of Alba's Board, emphasized that this partnership aligns with Alba’s growth strategy, positioning the company as the largest aluminium producer in the region. He highlighted the synergies that could be realized, including scaling up production, expanding the companies’ global reach, and exploring clean energy opportunities. Additionally, the partnership is expected to strengthen economic ties between Bahrain and Saudi Arabia while contributing to Bahrain’s economic diversification and job creation efforts.
Ma'aden CEO Bob Wilt added that combining the expertise and scale of both businesses would significantly advance Ma'aden's ambitions in the aluminium sector, creating a globally competitive entity and boosting job creation and production capacity. He reiterated Ma'aden's commitment to customers and the combined venture’s goal of providing a more reliable and expansive aluminium supply.
During the due diligence period, both companies will assess the strategic and financial benefits of the proposed combination. The discussions also include exploring the potential cross-listing of Alba on the Saudi Exchange and the transaction structure, which may involve Ma'aden contributing the share capital of its subsidiaries Ma'aden Aluminium Company (MAC) and Ma'aden Bauxite and Alumina Company (MBAC) to Alba in exchange for new shares allotted to Ma'aden.
The transaction is contingent on regulatory approvals, corporate confirmations, and successful due diligence. Further updates will be provided as the process progresses.
