Trafigura AG has outbid Glencore Xstrata Plc in an auction for
32,000 tonnes of alumina offered for sale by bankrupt aluminum
producer Ormet Corp.
Switzerland-based Trafigura and Hannibal, Ohio-based Ormet
agreed to a purchase price of nearly $9 million, or $281 per
tonne, according to a sales contract signed by executives from
The deal came after a
telephone auction between Trafigura and Baar, Switzerland-based
Glencore on Nov. 21, according to court documents. Ormet is
seeking court approval for the sale, documents indicate.
Glencore made an
initial offer of $8.44 million, or $263.75 per tonne, only to
see Trafigura increase the ante with a competing bid and
forcing the auction (
amm.com, Nov. 19).
Ormet, which filed for
bankruptcy protection in February, has said it is trying to
sell what it considers to be excess assets, including raw
materials such as alumina, anodes, caustic soda and bauxite (
amm.com, Oct. 16).