Saudi state-owned miner Ma'aden and US aluminium giant Alcoa have struck a US$1.1 billion deal that'll see the former take full control of their joint venture asset and the latter take a 2.2% stake in Ma'aden. The two entered into a binding share purchase and subscription agreement on September 15, under which Alcoa will sell its 25.1% interest in the Ma'aden JV to Ma'aden for about 86 million shares of Ma'aden and $150 million in cash.
Oplinger, said, "The transaction simplifies our portfolio, enhances visibility in the value of our investment in Saudi Arabia and provides greater financial flexibility for Alcoa, an important part of improving our long-term competitiveness." Ma'aden said the deal makes a "clear statement" about Alcoa's "confidence in Ma'aden's strategy and growth projections".