Deal Announcement 04/21: Industrial Products

The Deal

The PwC M&A team is pleased to announce the successful sale of Aluminium Rheinfelden GmbH and its three operating subsidiaries (“Aluminium Rheinfelden Group”). As leading producer of aluminum alloys, aluminum slugs and electrode pastes, Aluminium Rheinfelden Group initiated protective shield proceedings in September 2020 due to failed financing negotiations and a COVID-19 related sales decrease. 

Attorney at law Dr. Holger Leichtle of GÖRG Rechtsanwälte was appointed as insolvency administrator of the holding company and as trustee of the operating companies. The self-administration of the operating companies was run by attorney at law Detlef Specovius of Schultze & Braun. Aluminium Rheinfelden Group initiated a structured, international M&A process which has been led by the distressed M&A experts from PwC M&A. To stabilize the operating business the M&A process intended to find a solution on short notice.

Due to its excellent reputation as high-quality supplier Aluminium Rheinfelden Group drew strong interest from various strategic and financial investors in the course of the M&A process. Potential acquirers were interested in individual operating companies as well as in the Group as a whole. UC RUSAL, a leading global aluminum producer, succeeded in the M&A process with the most attractive offer for the entire Aluminium Rheinfelden Group. The purchase agreement was signed in February.

Aluminium Rheinfelden Group

Aluminium Rheinfelden Group is headquarted in Rheinfelden, Germany and operates through three operating companies with approx. 240 employees. Rheinfelden Alloys GmbH & Co. KG produces high quality aluminum alloys primarily for the automotive industry. Rheinfelden Semis GmbH & Co. KG produces aluminum slugs for the production of aluminum tubes and cans. Rheinfelden Carbon GmbH & Co. KG produces Soederberg and electrode pastes for producers of ferroalloys and silicon metals. In 2019 Aluminium Rheinfelden Group generated sales of EUR 163m.

RUSAL

RUSAL, with headquarters in Moscow (Russia) is an international public joint-stock company and the world’s second largest aluminum producer while operating assets in 13 countries over five continents and employing over 61,000 people across its international operations and offices. RUSAL produces metal with a low carbon footprint. The company's aluminum is produced with renewable energy, and by using innovative and energy-saving technologies, RUSAL is able to reduce greenhouse emissions at all stages of production.

PwC

The global PricewaterhouseCoopers network is a worldwide association of independent auditing and consulting companies which together employ more than 250,000 people in 158 countries. Our global network comprises nearly 1,550 M&A professionals all over the world, realising approx. 400 successful transactions per year. We specialise in a wide range of independent M&A services including advice on acquisitions and disposals, mergers, public takeovers, privatisations as well as structured financing. PwC’s Distressed M&A team is market leading in Germany and realized more than 70 transactions out of crisis and insolvency situations in recent years.

The transaction was led by Timo Klees (Partner) and Julian Coley (Manager). The M&A team also included Fabian Dalka (Senior Manager) and Matthias Friedl (Associate).