GFG Alliance has reportedly reached an agreement with Novelis to buy the Duffel aluminium rolling mill in Belgium. The Duffel plant is owned by Aleris, which is currently in the process of being taken over by Novelis. However, to finalize the acquisition of Aleris, Novelis has to put the Duffel plant on sale. This is a prerequisite to reach the takeover approval from the EU Commission as the Duffel plant is focused on the production of aluminium automotive body sheet, while Novelis is already the world’s largest producer in this product segment.
The acquisition of Duffel would support GFG’s strategy to create an international, vertically integrated aluminium business. GFG owns primary aluminium smelters in Dunkerque, Belgium, and Lochaber in Scotland, as well as several vehicle component suppliers in France. GFG says it expects the Duffel transaction to be completed in the coming months.