Granges AB (publ) entered into an asset purchase agreement to acquire the Aluminium Rolling Business from Noranda Aluminum Holding Corporation for approximately $300 million on cash and debt free basis on June 13, 2016. Granges AB is acting like a stalking horse bidder for the aluminum rolling business. The deal is subject to US antitrust Laws, approval from Bankruptcy court. If Granges is not successful at the auction then it is entitled to a break-up fee of 1.5% of the purchase prince and the reimbursement of reasonable transaction expenses. As of June 23, 2016, deal was approved by US Bankruptcy Court. As on July 8, 2016, Granges AB is announced as winner of auction. Gränges AB (publ) (“Gränges”) (GRNG.ST) won the court supervised auction to acquire Noranda Aluminum Holding Corporation's (“Noranda”) downstream aluminum rolling business in the United States, which was announced on 8 July, 2016. Gränges has secured bank loan financing from Svenska Handelsbanken and Danske Bank to finance the transaction. Net sales was $1.2 billion and adjusted EBITDA was $142.15 million.

The completion of the acquisition is subject to an approval of Gränges as buyer by the US Bankruptcy Court. Gränges was expecting this approval by mid-July but the hearing has been adjourned to July 28, 2016. The hearing has been further postponed to August 4, 2016. A decision is now expected in the end of July at the earliest. The deal is anticipated to close in the third quarter of 2016. The transaction is anticipated to be accretive to Gränges earnings per share in 2016. As of July 8, 2016, Granges revised the offer to acquire Noranda Aluminum. Granges will now pay $324.2 million which includes cash payment of $309.7 million. As of August 15, 2016, the transaction received court approval. Deal is expected to close on or about August 22, 2016. The transaction is anticipated to be accretive to Gränges earnings per share in 2016. Industry Corporate Finance Ltd acted as the financial advisor and Alston & Bird LLP acted as a legal counsel and Fogel & Partners acted as communication advisor to Gränges. Steven J. Williams, Alan W. Kornberg, Elizabeth McColm and Alexander Woolverton of Paul, Weiss, Rifkind, Wharton & Garrison LLP and Christopher J. Lawhorn, Angela L. Drumm and Colin M. Luoma of Carmody MacDonald P.C. acted as legal advisors and Houlihan Lokey Capital, Inc. acted as financial advisor for Noranda Aluminium. Alvarez & Marsal Holdings LLC acted as restructuring advisor. Kenneth A. Rosen, Jeffrey D. Prol, Bruce S. Nathan and David M. Banker at Lowenstein Sandler LLP acted as legal advisor in the deal. Alvarez & Marsal LLC is restructuring adviser.

Gränges AB (publ) (OM:GRNG) completed acquisition of Aluminium Rolling Business from Noranda Aluminum Holding Corporation on August 22, 2016.