UAE’s Emirates Global Aluminium Secures Acquisition of German Company Leichtmetall

EGA Expands Reach with Acquisition of German Recycling Firm Leichtmetall

Emirates Global Aluminium (EGA), a cornerstone of the global aluminium industry renowned for its innovation and leadership, has embarked on a transformative journey with the acquisition of German firm Leichtmetall Aluminium Giesserei Hannover GmbH. This strategic move underscores EGA’s unwavering commitment to sustainability, innovation, and market leadership, positioning the company at the forefront of the evolving landscape of aluminium production and recycling.

The transaction, having successfully navigated through rigorous regulatory approvals and closing conditions, represents a significant milestone in EGA’s strategic expansion initiatives. With a steadfast focus on tapping into the growing demand for recycled aluminium, EGA is poised to redefine industry standards and pave the way for a more sustainable future.

Abdulnasser Bin Kalban, CEO of EGA, articulates the strategic significance of this acquisition, emphasizing its pivotal role in EGA’s broader agenda. He underscores that the acquisition marks a decisive step forward in EGA’s mission to establish a robust aluminium recycling business in Europe, a region of strategic importance for the company. Notably, EGA already boasts a formidable presence in the European market, with annual sales surpassing 600,000 tonnes of primary aluminium.

Leichtmetall Aluminium Giesserei Hannover GmbH, the German aluminium recycling company, operates as a subsidiary of an investment fund managed by Quantum Capital Partners GmbH. EGA’s acquisition of this esteemed entity heralds the dawn of a new era in aluminium recycling, leveraging renewable energy sources to produce up to 30,000 tonnes per year of billets. Notably, around 80% of the input material for this operation comprises secondary aluminium, underscoring EGA’s steadfast commitment to sustainability and the circular economy.

The production capabilities of the German facility are nothing short of impressive, encompassing hard alloys and larger diameter billets measuring up to 1,150 millimeters. These high-quality billets find applications across diverse industries, ranging from the manufacturing of high load-bearing extruded profiles to the production of very large forged components, catering to a wide spectrum of market needs and applications.

EGA’s strategic move comes at a pivotal juncture, as the global demand for recycled aluminium is poised for exponential growth. Market analysts project that demand for recycled aluminium is set to double by 2040, underlining its pivotal role in shaping the future of the aluminium industry. Recycled aluminium is anticipated to play a significant role in global aluminium supply growth, accounting for approximately 60% of growth by 2030 and around 70% by 2040, according to EGA’s observations.

In essence, EGA’s acquisition of Leichtmetall Aluminium Giesserei Hannover GmbH epitomizes its proactive approach to innovation, sustainability, and market leadership. By expanding its footprint in Europe and bolstering its capabilities in aluminium recycling, EGA is poised to reinforce its position as a key player in the global aluminium sector, championing sustainability, innovation, and excellence in every facet of its operations.