The world’s leading producer of silica fume (microsilica), Elkem of Norway, has been acquired by China National Bluestar (Group) Co. Ltd for $2bn.
Elkem’s parent, Orkla ASA, has signed a binding agreement with Bluestar and the transaction comprises Elkem Silicon Materials, Elkem Foundry Products, Elkem Carbon and Elkem Solar.
Orkla expects the deal to be closed during the first half of 2011, and will remain the owner of the shares in Elkem Energi AS, including its 85% stake in AS Saudefaldene.
South Korea’s leading steel group, Posco, had also been in the running for Elkem.
Elkem spokesperson, Kristin Karlstadt, vice president for public affairs at Elkem, told IM: “Bluestar has acquired Elkem because Elkem already has attractive technologies and market positions, and because its business is a good match with Bluestar’s strategies.”
Elkem’s principal products include a range of silicon...