Rio Algom buying Alcan division

Copper producer Rio Algom (TSE) is acquiring Alcan Aluminum’s Metals Goods distribution business.

Metals Goods operates a network of 39 facilities throughout the U.S. which sells and distributes stainless steel, aluminum, nickel alloys, brass and copper. The division, with a workforce of 650, had sales exceeding US$480 million in 1994.

Rio Algom’s North American Metals Distribution Group operates three divisions: Vincent Metals in the U.S. (15 locations); Atlas Alloys in Canada (12 locations); and Aceromex Atlas in Mexico (one location, in Mexico City). The companies expect to close the transaction at the end of the first quarter.