Indiana’s aluminium milling firm Jupiter Aluminum Corporation sealed the purchase of Spanish hot- and cold-rolled aluminium company Grupo Valenciana de Aluminio Baux (Baux) earlier this week, purchasing the firm from Spanish corporate restructuring and management specialist NK5. Terms of the deal were not disclosed by any of the parties involved.
Among Europe’s top-tier aluminium smelting, rolling, and coil manufacturers, Baux entered the NK5 fold almost two years ago after suffering from poor bottom-line performance and incurring substantial debt.
Jupiter enlisted the aid of Livingstone Partners and Quáter Abogados in arranging and finalizing the financial and legal aspects of sale, while Sabadell Corporate Finance and Freshfields Bruckhaus Deringer advised NK5 throughout the transaction.
“This is a very important transaction,” explained Juan José Nieto, executive chairman and founding partner of NK5. “Very important for NK5 because it is the perfect example of what we want and know how to do; very important for Baux, which three years ago was on the verge of disappearing and is now an international leader with over 300 employees and promising growth prospects; and very important for Jupiter Aluminum because it is embarking, with a major leap, on its international expansion with a highly professional team and a company which is strongly and profitably positioned vis-a-vis its markets and customers. The ability to rely consistently on Banco Sabadell for its support has been key to achieving our objectives.”
Paul-Henri Chevalier, President of Jupiter Aluminum, noted the two firms’ strong similarities.
“At Jupiter we focus our efforts on ensuring that all of the stakeholders in our business work together as a team to ensure success. Our employees, clients, suppliers, and agents all form a crucial part in obtaining a well-run machine. We felt this equilibrium immediately when we visited the Baux plants in Segorbe and Elche de la Sierra.
“This is our first international transaction, but we are very comfortable with Baux because it is exactly in the same sector as we are. We can also depend on an excellent relationship with NK5 and Banco Sabadell, our advisors, Livingstone Partners, and an outstanding management team.”
Boasting an annual production capacity of 125 thousand metric tons, Jupiter utilizes recycled aluminium for 96 percent of its feedstock. The Hammond, Indiana firm operates a trio of locations, including a scrap processing unit in its home state and two painting factories, one each in Indiana and West Virginia. Jupiter reported almost US$400 million in revenue in the most recent fiscal year.