South32 shareholders approve sale of aluminium assets to Alcoa
South32 held its annual general meeting on 15 Oct 2026 and shareholders voted overwhelmingly to sell its aluminium and alumina assets to Alcoa. The transaction, covering Worsley Alumina, Hillside Aluminium, the MRN bauxite mine and related refinery and smelter interests, is slated to close in the second half of fiscal 2027. The company reported a 28% rise in underlying EBITDA to $2.5 billion and a 55% increase in underlying earnings to $1 billion for FY 2026.
Why it matters
Alcoa will acquire a full aluminium value chain, potentially expanding its production capacity and earnings, while South32 will receive cash and Alcoa shares that could be used to return capital to shareholders. The deal also reduces South32’s exposure to aluminium market risk and related environmental liabilities.
Key facts
- 1Shareholders voted 99.18% in favour of the sale. investing.com
- 2The transaction value is reported as up to $5.6 billion. rttnews.com
- 3The transaction value is also reported as $8 billion. finance.yahoo.com
- 4Completion is expected in the second half of fiscal year 2027. investing.com
- 5Underlying EBITDA increased 28% to $2.5 billion for FY 2026. investing.com
- 6Underlying earnings rose 55% to $1 billion for FY 2026. investing.com
Open questions
- Conflicting reports on the total sale value: $5.6 billion versus $8 billion.
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.