Alston & Bird client Gränges AB has entered into an agreement with a subsidiary of Noranda Aluminum Holding Corporation under which it will serve as the “stalking horse” bidder for Noranda’s downstream aluminum rolling business in the United States.
The transaction will be carried out through a court-supervised process under Section 363 of the U.S. Bankruptcy Code. Gränges’ bid values the business and related assets at approximately $300 million on a cash- and debt-free basis.
A court-supervised auction is currently scheduled for July 7, 2016. Should Gränges win the auction and receive final bankruptcy court approval, the acquisition is expected to close during the third quarter of this year.
Noranda, which filed for Chapter 11 bankruptcy protection in February, is headquartered in Franklin, TN. An integrated producer of primary aluminum and high-quality rolled aluminum coils, it is seeking to sell its downstream aluminum rolling business as part of the company’s restructuring under the U.S. Bankruptcy Code.
Based in Sweden and listed on Nasdaq Stockholm, Gränges is one of the world’s largest manufacturers of rolled products for brazed aluminum heat exchangers. It serves Europe, Asia and the Americas and operates manufacturing facilities in Sweden and China.
Advising Gränges is an Alston & Bird team led by partners Justin Howard (Mergers & Acquisitions) and Dennis Connolly (Bankruptcy & Financial Restructuring). Other team members include partners Clare Draper (Labor & Employment), Richard Grice (Finance), Blake MacKay (Employee Benefits & Executive Compensation) and Jonathan Wells (Environment, Land Use & Natural Resources); counsel David Revelt; senior associate Sarah Hess Mackenzie and associate Brittany Raway (Mergers & Acquisitions).
The transaction will be carried out through a court-supervised process under Section 363 of the U.S. Bankruptcy Code. Gränges’ bid values the business and related assets at approximately $300 million on a cash- and debt-free basis.
A court-supervised auction is currently scheduled for July 7, 2016. Should Gränges win the auction and receive final bankruptcy court approval, the acquisition is expected to close during the third quarter of this year.
Noranda, which filed for Chapter 11 bankruptcy protection in February, is headquartered in Franklin, TN. An integrated producer of primary aluminum and high-quality rolled aluminum coils, it is seeking to sell its downstream aluminum rolling business as part of the company’s restructuring under the U.S. Bankruptcy Code.
Based in Sweden and listed on Nasdaq Stockholm, Gränges is one of the world’s largest manufacturers of rolled products for brazed aluminum heat exchangers. It serves Europe, Asia and the Americas and operates manufacturing facilities in Sweden and China.
Advising Gränges is an Alston & Bird team led by partners Justin Howard (Mergers & Acquisitions) and Dennis Connolly (Bankruptcy & Financial Restructuring). Other team members include partners Clare Draper (Labor & Employment), Richard Grice (Finance), Blake MacKay (Employee Benefits & Executive Compensation) and Jonathan Wells (Environment, Land Use & Natural Resources); counsel David Revelt; senior associate Sarah Hess Mackenzie and associate Brittany Raway (Mergers & Acquisitions).