Zhongwang USA Acquisition of Aleris Will Not Proceed
CLEVELAND, Nov. 13, 2017
CLEVELAND, Nov. 13, 2017 /PRNewswire/ -- Aleris Corporation announced today that the company's planned acquisition by Zhongwang USA LLC will not proceed. The merger agreement between the parties expired by its terms on November 12, 2017.
The merger was subject to customary regulatory approvals, including approval from the Committee on Foreign Investment in the United States (CFIUS). In July 2017, CFIUS raised concerns about the transaction, and the parties withdrew their filing while extending the merger agreement to allow for additional discussions.
"While this is not the outcome we intended, we remain committed to our growth strategy and have made great strides over the past year in expanding our capacity and developing the capabilities required to meet the future demands of our industry. This includes our automotive expansion project in Lewisport, KY, which is beginning to serve customers," Sean Stack, Aleris Chairman and CEO said. "I am proud of our employees' focus and accomplishments over the past several months and appreciate the support we've received from customers. Aleris remains well-positioned for future growth, and we will continue to focus on serving our customers with excellence as we move forward."
Since 2010, Aleris has been owned and controlled by a group led by certain investment funds of Oaktree Capital Management, L.P., as well as certain funds managed by Apollo Management, L.P.
"Our ownership group remains committed to Aleris and highly supportive of the company's strategy," Stack said.
Aleris is a privately-held, global leader in aluminum rolled products serving diverse industries including aerospace, automotive, building and construction, commercial transportation and industrial manufacturing. Headquartered in Cleveland, Ohio, Aleris operates production facilities in North America, Europe and Asia. For more information, visit www.aleris.com.
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