Anglo-Australian mining giant Rio Tinto said on Sept. 22 that it will sell its Alcan Composites division to Swiss group Schweiter Technologies.
"Rio Tinto has entered into an agreement to sell Alcan Composites, part of the Alcan Engineered Products division, to Schweiter Technologies for a total consideration of $349 million," Rio Tinto said.
Alcan Composites is Swiss-based and makes composite materials for the display, architecture and wind energy sectors. It employs 3,000 people worldwide and had sales of $649 million in the 12 months to August.
Rio borrowed heavily to fund its $38.1 billion takeover of Canadian aluminium group Alcan in 2007 and the miner is selling non-core assets to reduce debts.
Last week, Rio sold 56% of its Alcan Engineered Products Cable business to U.S.-based private equity firm Platinum Equity for an undisclosed amount.
"In the last three months we have made significant inroads into divesting the downstream assets acquired with Alcan, including offers or agreed sales for the majority of Alcan Packaging and Cable," Rio Tinto finance director Guy Elliott said.
Copyright Agence France-Presse, 2009