Aluminium Bahrain (Alba) has agreed to acquire Aluminium Dunkerque – the largest aluminium smelter in the European Union – in a deal worth $2.2 billion, a report in the Gulf Daily News said.
The deal was signed in the presence of Finance and National Economy Minister and Mumtalakat chairman Shaikh Salman bin Khalifa Al Khalifa, on the sidelines of the Choose France Summit, which was opened by French President Emmanuel Macron at the Palace of Versailles in Paris.
Shaikh Salman also attended a dinner hosted by President Macron for summit participants.
During the event, he highlighted the growing strategic partnership between Bahrain and France, particularly in the economic and investment sectors.
The minister said Bahrain’s participation in the summit reflects the kingdom’s commitment to strengthening international economic and investment partnerships and exploring opportunities that support development goals.
He noted that the participation builds on the outcomes of official visits exchanged between the two countries, which have helped strengthen co-operation and create further opportunities.
He reiterated Bahrain’s commitment to expanding co-operation with France in line with shared interests.
The Choose France Summit is an annual international economic event held in France, bringing together senior government officials and chief executives of major global companies to discuss economic and investment co-operation through a series of high-level discussions.
The deal by Alba, the world’s largest single-site aluminium smelter, to acquire Aluminium Dunkerque marks a pivotal step in its strategy to build a global low-carbon aluminium platform.
The deal was announced jointly with American Industrial Partners, who are the current owners of Aluminium Dunkerque, and Bpifrance, the French public investment bank who will acquire a minority stake in the company alongside Alba.
The memorandum of understanding with Bpifrance was signed in the presence of Shaikh Salman and France’s Minister Delegate for Foreign Trade and Economic Attractiveness Nicolas Forissier.
The parties to the signing ceremony were represented by Alba’s board of directors chairman Khalid Al Rumaihi, American Industrial Partners Managing Partner Dino Cusumano; and José Gonzalo, Executive Director of Capital Development at Bpifrance.
The MoU between Alba and Bpifrance provides for a capital investment of 100 million euros by Bpifrance in the transaction, representing a 6 per cent ownership stake in Aluminium Dunkerque, subject to the completion of customary approvals. Bpifrance will also hold a seat on the board of directors of Aluminium Dunkerque’s holding company.
The entry of Bpifrance, as a key minority shareholder and member of the board of directors, aims to strengthen Aluminium Dunkerque’s presence in the region and demonstrates the strategic significance of the company within the French aluminium sector, the report said.
Shaikh Salman affirmed that this transaction is a reflection of the strong and enduring economic ties between Bahrain and France, and demonstrative of the confidence international partners place in Bahrain as an investment destination.
He added that it reinforces Bahrain’s position as a competitive industrial hub with the qualified local talent and advanced capabilities to pursue opportunities on the world stage.
Al Rumaihi highlighted the significance of Aluminium Dunkerque as one of France’s strategic industrial assets and that the acquisition is a defining moment for Alba that demonstrates strong confidence in the company’s promising potential and long-term growth prospects, and represents a strategic step towards building a more diversified and competitive international industrial platform – one that strengthens Alba’s presence in global markets and supports its capacity to achieve sustainable growth.
He further noted the important opportunities this partnership creates to enhance industrial resilience in both Bahrain and France, and to advance the economic and industrial partnership between the two nations.
Nicolas Dufourcq, CEO at Bpifrance, said: “Alongside Alba, Bpifrance’s investment in Aluminium Dunkerque underscores our commitment to securing and reinforcing the long-term future of this strategic industrial site. By joining forces, we are not only supporting the growth of a key player in the European aluminium sector but also ensuring that Aluminium Dunkerque remains a cornerstone of France’s industrial resilience and innovation.
“Together, we will work to strengthen the site’s industrial project, fostering sustainable development and competitiveness for years to come.”
Dino Cusumano, General Partner at AIP, said: “We are pleased to mark an important step in the transition of Aluminium Dunkerque’s ownership to Aluminium Bahrain. Over the past four months, the process has advanced smoothly as expected thanks to the constructive work among all parties and a shared commitment to responsible execution.
“We remain confident that Alba is the right long-term owner for Aluminium Dunkerque and will be a strong partner for France in supporting the company’s continued development and strategic role in Europe,” he said.
Located in Loon-Plage in the Dunkerque region, the smelter produces approximately 300,000 tonnes of aluminium annually. With advanced automation, integrated production capabilities, and a highly skilled workforce, Aluminium Dunkerque is well-positioned to capitalise on the growing European demand for sustainably produced aluminium. - TradeArabia News Service