Hastings Andrew sold $305K of AA

Alcoa (AAI) announced its $8B acquisition of South32's (S32) aluminium portfolio is on track for 2027. The deal includes cash, shares, and price-linked payments. Alcoa secured $2.6B in funding. Assets include Worsley Alumina, Hillside smelter, and Brazilian operations. Regulatory approvals are pending.

South32 expects to complete the sale of its aluminium assets to Alcoa by June 2027 for up to $5.6 billion. The deal includes operations in South Africa, Australia, and Brazil. South32's Q3 2026 aluminium production remained steady, with Hillside producing 179,000 tonnes. The company also reported increased manganese and copper production.

Brazil's competition authority, CADE, is reviewing Alcoa's proposed $4.1 billion acquisition of South32's bauxite, alumina, and primary aluminum business, which includes mining and production assets in Brazil, Australia, and South Africa.

South32 shareholders approved a $5.6B deal to sell 5 aluminium assets to Alcoa, excluding Mozal. South32 will receive $3.1B in cash, $1B in Alcoa shares, and assume $750M in debt. The deal, pending regulatory approvals, is expected to close by mid-2027.

South32 shareholders approved the sale of its aluminium business to Alcoa for up to $5.6B, excluding the Mozal smelter in Mozambique. The deal includes cash and shares, with completion expected by June 2027, subject to regulatory approvals.

Alcoa Corp (AA) stock fell 5% after Argus downgraded it from Buy to Hold, citing low aluminum prices and global competition. The stock trades at $38.65, 7.2% above its GF Value™ of $36.04, with a GF Score™ of 74. Insiders sold $1.3M in shares over the past year, and the P/E ratio is 6.67x, near a 10-year low.