Arconic

History

2022: VSMPO-Avisma shareholder bought Arconic for $230 million

On November 16, 2022, it became known about the sale of Russian business to Arconic, which is engaged in the production of aluminum products. The buyer of the assets was Industrial Investments LLC (majority shareholder of VSMPO-Avisma). The transaction value amounted to $230 million.

The transaction was closed after receiving all necessary permits. The company recalled that the funds stored in the Russian Federation are not available due to a trial initiated by the Federal Antimonopoly Service (FAS). Due to the sale of the company, which was subject to the restrictions of the FAS, Arconic considers its participation in the lawsuit settled.

VSMPO-Avisma shareholder bought Arconic

In Russia, Arconic, according to information on the company's website, has one asset: Samara Metallurgical Plant (Arkonik SMZ JSC) is a manufacturer of aluminum semi-finished products. The American company announced its desire to sell its Russian business back in May, estimating losses of $500 million.

Unfortunately, the conflict in Ukraine made our operations in Russia impossible, "said Arconic CEO Tim Myers in May 2022.

According to him, restrictions on Arconic's Russian assets were imposed in 2020 - and since then it has only become more difficult to work in Russia, and the prospects have become increasingly uncertain in light of the current geopolitical situation.

According to industrial expert Leonid Khazanov, the fact that the Americans sold the company for $230 million, investing $500 million in it, suggests that Arconic had no other way out.

Moreover, the very fact of his ownership of an enterprise producing aluminum semi-finished products for various sectors of the Russian industry, including aircraft manufacturing, looked nonsense - the United States unleashed a sanctions war against Russia and at the same time the American corporation controls the strategic plant in our country. Now the SMZ, in the direct sense of the word, has returned to Russia, - said the expert.[1]

Notes

Шаблон:Remarks