Commodity metals manufacturer Alcoa announced Thursday it has reached a deal to acquire Firth Rixson, a maker of aerospace components, in a $2.85 billion acquisition, reports say.
Alcoa is looking to strengthen its operations in higher-margin finished goods, and acquiring the UK firm will redirect its business, according to reports. Firth Rixson, currently owned by Oak Hill, operates throughout the US, Asia and Europe. It currently stands as the world’s largest producer of seamless rolled jet engine rings.
In conjunction with the merger, Alcoa has been shrinking its aluminum smelter operations in response to a weakened global market.
The deal remains subject to regulatory approval.
Full content: The Deal
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