Alcoa Makes Hostile Bid for Alcan
Until recently both Alcoa and Alcan were the world’s top two producers of aluminum, but they are now behind Russia’s Rusal. The Alcan deal would spring Alcoa past Rusal in aluminum production. The transaction is subject to review by antitrust authorities in the United States, Canada, the European Union, Australia and Brazil, as well as foreign investment clearance in Canada, France and Australia. Alcoa founded Alcan in 1902, split it off as a separate company in 1928 and retained largely common ownership until 1951 when major shareholdings were divested by a U.S. court order because of antitrust issues. Alcoa said they will allay fears by divesting certain assets.