Alcoa’s Board of Directors has unanimously approved a plan to separate into two independent, publicly traded companies. The globally competitive Upstream Company will comprise five business units that today make up Global Primary Products – Bauxite, Alumina, Aluminum, Casting and Energy. The technology-driven Value-Add Company will include Global Rolled Products, Engineered Products and Solutions, and Transportation and Construction Solutions. The transaction is expected to be completed in the second half of 2016. After the separation, the Upstream Company, with its strong history in the aluminum and alumina markets, will operate under the Alcoa name. The Value-Add Company will be named prior to closing.
The Upstream Company will be a cost-competitive industry leader in bauxite mining, alumina refining and aluminum production. The company’s footprint will include 64 facilities worldwide and approximately 17,000 employees.
The Value-Add Company will be a premier provider of high-performance multi-material products and solutions with 157 globally diverse operating locations and approximately 43,000 employees. The company will be at the forefront of capturing demand for aluminum-intensive vehicles through Alcoa’s recent rolling-mill capacity expansions and the commercialization of technologies such as Micromill.