CellMark makes offer to acquire Alcan International

CellMark, a forest products marketing group based in Gothenburg, Sweden, has made a binding offer to acquire the Alcan International Network (AIN) business from Constellium. Constellium is owned by affiliates of Apollo Global Management, Rio Tinto and Fonds Stratégique d’Investissement, the French sovereign investment fund.

AIN’s worldwide operations specialize mainly in the trading and distribution of products for the aluminium, steel and foundry industries and semi-fabricated products. AIN recorded approximately $500 million of revenues in 2010.

Constellium will respond to CellMark’s binding offer following the completion of information and consultation requirements with the relevant employee representation bodies. Completion of the acquisition, which is expected to occur in December 2011 or early 2012, is subject to various conditions, including regulatory filings in a number of jurisdictions.

Sir Adrian Montague, chairman of CellMark Investment AB, said, “The technical expertise and strong market connections of AIN would complement our existing operations, and CellMark’s access to capital, its cultural values and risk management expertise would offers our new AIN colleagues exciting opportunities to grow and develop AIN’s business alongside CellMark’s core activities in forest products. The combination of these two businesses would provide a platform to strengthen and develop our supply chain services for both commodities and specialties.”