$2B deal lands Elkem Solar to Chinese

Orkla divested Elkem Solar to state-owned China National Bluestar as part of a US$2 billion all-cash transaction. It also includes Elkem Silicon and Elkem’s aluminium and carbon’s businesses.

Completion of the deal is expected during the first half of 2011.

“It is important to secure that Elkem has a new owner able to further develop its potential and keep its competence and resources united,” commented Bjørn M. Wiggen, president and CEO of Orkla ASA. “In Bluestar, Elkem will have an owner that has solid financial capacity and is well positioned in the world’s largest market for metals and renewables. Bluestar has the best attributes to take advantage of the potential of Elkem’s technological strength and competence.”

Okla noted that Elkem Solar’s technology for polysilicon production had significantly lower energy consumption than traditional technologies.