Alcoa to Acquire South32's Aluminum Assets for $4.1B, Strengthening Upstream Position

Published: Jul 1, 2026 09:29

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[SMM Aluminum Express News] Alcoa has agreed to acquire most of South32’s bauxite, alumina, and aluminum assets for an upfront consideration of US$4.1 billion in cash and stock, with potential contingent payments of up to US$750 million linked to future alumina and aluminum prices.

The transaction includes South32’s interests in Worsley Alumina (Australia), Hillside Aluminium (South Africa), and bauxite, alumina, and aluminum operations in Brazil, but excludes the idled Mozal smelter in Mozambique. Alcoa expects approximately US$900 million in synergies and believes the acquisition will strengthen its position as a leading pure-play upstream aluminum producer. The deal is expected to close in H1 2027.

Under the agreement Alcoa will acquire South32's interests in:

1. Worsley Alumina (86%)

2. Hillside Aluminium (100%)

3. MRN Bauxite Mine (33%)

4. Brazil Alumina Refinery (36%)

5. Brazil Aluminium Smelter (40%)

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