MOSCOW, February 3 (RIA Novosti) - Russian metals giant RusAl announced Friday it had purchased a substantial stake in Nigeria's leading aluminum company.
RusAl acquired 77.5% of shares in the Aluminum Smelter Company of Nigeria (Alscon) for $250 million, the RusAl press office said.
"The sum of the deal totaled $250 million. The deal will allow RusAl to expand aluminum output by 150,000 metric tons per annum," the press office said.
Alscon includes a metals factory producing 193,000 metric tons of aluminum annually, a port on the river of Imo, and a gas-fired electric power station. The government of Nigeria and Germany's Ferrostaal AG hold minority stakes in Alscon.
The sum of the deal includes payment for shares and expenditures on river drainage to create transportation infrastructure. RusAl's additional investment to complete the factory's construction and modernization in the coming three years will total $150 million.
The acquisition of Alscon will allow RusAl to build a full production cycle in the region and boost production efficiency. The Nigerian plant's products will be supplied to RusAl clients throughout the world.
RusAl is among the world's top three aluminum and aluminum alloy producers. It exports its products to customers in 40 countries. RusAl operates in nine regions of Russia and in 12 countries. It accounts for 75% of the aluminum produced in Russia and 10% of global aluminum output. The company was established in March 2000, following the merger of some aluminum enterprises operating in former Soviet republics.
