Twitter headlines« UK Manufacturer Axon Automotive Unveils Plug-in Hybrid Electric Vehicle | Main | Oxford Catalysts in $5.9M Fischer-Tropsch Demonstration and Commercialization Agreement; Focus on Biomass- and Waste-to-Liquids Applications »
Hydro Divests Aluminum Automotive Structures Business
27 October 2009
Norsk Hydro ASA entered into an agreement to divest its automotive structures business to Benteler Automobiltechnik GmbH, the automotive division of the large German industrial enterprise Benteler Group with headquarters in Paderborn, Germany.
Hydro’s automotive structures business, part of the Extruded Products business area, is a leading supplier of advanced crash management systems, roll-over bar protection systems and other structural components and assemblies, serving the majority of the global carmakers. The business has a significant part of its production at Raufoss in Norway, with other plants in China, Czech, Denmark, France, Germany, Sweden and the United States. Revenues amounted to NOK 2.2 billion (US$389 million) in 2008 and the business had about 1,200 employees at the end of third quarter 2009.
The agreement represents a long-term industrial solution for Hydro’s automotive structures activities, and is in line with Hydro’s strategy to focus its extruded activities on profiles solutions and building systems.
The transaction is expected to be cash neutral for Hydro, and an estimated after tax loss of NOK 250 million (US$44 million) will be recognized in Hydro’s fourth quarter 2009 results. Hydro expects the transaction to close by the end of fourth quarter 2009 subject to clearance by relevant competition authorities and other anti-trust bodies.
Hydro, an integrated aluminium and energy company, will continue to be a major supplier of aluminium, as well as semi-fabricated rolled and extruded aluminium profiles, to the automotive industry after the divestment.
October 27, 2009 in Brief | Permalink | Comments (1) | TrackBack (0)
Comments
Posted by: Henry Gibson | November 08, 2009 at 05:56 PM
TrackBack
TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8341c4fbe53ef0120a62412f0970b
Listed below are links to weblogs that reference Hydro Divests Aluminum Automotive Structures Business:
Many Californians still caught in the high priced electricity aftermath of ENRON and deregulation would not even believe how cheap the kilowatt-hour price is that the Norsk aluminum refineries pay for electricity. In fact some would be glad to get electricity at the highest price charged to consumers of French, "too expensive", nuclear power. Norway ships gas in large undersea pipelines to the continent, and now it can ship kilowatt-hours over a large undersea cable to Holland. The power can also flow to Norway if there is low water flow, but less does. ..HG..