Hydro completed the acquisition of Vale’s remaining shareholding in Mineração Paragominas S.A. (MPSA) on December 15, 2016.
The transaction is the second and final step of the MPSA put/call arrangements agreed in 2011 in connection with Hydro’s acquisition of the majority of Vale’s aluminium assets in Brazil. Hydro now owns 100% of MPSA’s shares.
Hydro’s net payment, after adjustments resulting from the completion of outstanding contractual arrangements with Vale, was USD 113 million. Hydro expects the transaction to have a positive impact for Bauxite & Alumina of approximately USD 45 million on its result in the fourth quarter of 2016, of which USD 30 million will be excluded from underlying earnings.