Aluminium Bahrain B.S.C. (Alba) has entered a non-binding agreement with Saudi Arabian Mining Company (Maaden) to explore a potential business combination.
This merger aims to reshape the global aluminium industry by creating one of the largest aluminium producers in the world. The combined entity would enjoy enhanced production capacity, a stronger global presence, improved ESG performance, better energy security, and increased shareholder value.
Alba’s Chairman, HE Khalid Al Rumaihi, remarked, “This partnership accelerates Alba’s growth strategy, making us a global champion and the largest regional aluminium producer. It will scale up production, expand our global presence, and open new opportunities in clean energy. This merger will strengthen Bahrain-Saudi ties and contribute to Bahrain’s economic diversification and job creation.”
Maaden CEO Bob Wilt added, “Combining our scale and expertise will advance Maaden’s aluminium ambitions and strengthen economic ties between Bahrain and Saudi Arabia. This partnership will enhance job creation, increase production capacity, and boost our global competitive edge. We aim to provide a more reliable aluminium supply, benefiting our employees, investors, and economies.”
During the due diligence period, both companies will exchange information to assess the strategic and financial benefits of the merger. There is no guarantee that these discussions will result in a definitive agreement or transaction.
As part of the discussions, Alba and Maaden have considered the transaction structure, including a potential cross-listing of Alba on the Saudi Exchange. Maaden would contribute its subsidiaries, Maaden Aluminium Company (MAC) and Maaden Bauxite and Alumina Company (MBAC), along with related marketing and sales rights, in exchange for new Alba shares.
The transaction is subject to regulatory and corporate approvals, confirmatory due diligence, and valuation assessments. Alba will provide further updates as necessary.