Chi­nese ty­coon to buy US alu­minium maker

The Myanmar Times - - International Business -

A CHI­NESE billionaire has agreed to ac­quire US alu­minium maker Aleris Cor­po­ra­tion for US$2.33 bil­lion in­clud­ing debt, the lat­est over­seas takeover by a Chi­nese firm.

Zhong­wang USA, an in­vest­ment firm con­trolled by Liu Zhong­tian, said in a state­ment it would pay $1.11 bil­lion in cash for Cleve­land­based Aleris and take on its net debt of $1.22 bil­lion.

Mr Liu is the founder and chair of Hong Kong-listed China Zhong­wang, the world’s sec­ond-largest man­u­fac­turer of in­dus­trial alu­minium ex­tru­sion prod­ucts.

His net worth is es­ti­mated at $3.1 bil­lion by Amer­i­can fi­nan­cial pub­li­ca­tion Forbes.

“This ac­qui­si­tion is an in­ter­na­tional ex­pan­sion to es­tab­lish a com­ple­men­tary busi­ness foothold,” Mr Liu was quoted as say­ing.

Chi­nese com­pa­nies have been snap­ping up over­seas as­sets in re­cent years as they try to ex­pand their mar­kets and as their coun­try’s eco­nomic growth slows.

A US na­tional se­cu­rity reg­u­la­tor has ap­proved state-owned China Na­tional Chem­i­cal Corp.’s planned $43 bil­lion takeover of Swiss pes­ti­cide and seed giant Syn­genta in what would be the big­gest over­seas ac­qui­si­tion by a Chi­nese firm.

The Aleris deal is in­tended to help the Chi­nese ty­coon tap into the North Amer­i­can and Euro­pean mar­kets as the US firm has a part­ner­ship with Figeac Aero, a sup­plier to com­pa­nies in­clud­ing Air­bus, Boe­ing and Bom­bardier. –

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