Board Ties Could Prove Beneficial in Alcoa’s Sale Plans
How long will Alcoa Inc have to wait before potential buyers of its automotive castings and packaging and consumer business divisions approach it? Maybe not long, as some of its own Directors might be interested in the divisions. Alcoa announced that it is selling the two divisions to allow the company to focus on its core business of mining bauxite and producing alumina (see article from Bloggingstocks.com). We created an IntellectSpace Knowledge Map of the corporate ties of the Board of Directors at Alcoa to determine if they have any connections to companies that may be interested in these businesses. After reviewing the Knowledge Map we can surmise that no less than four Directors share corporate ties with companies that could be potential buyers.
The strongest tie and buyer might be through Ratan Tata, Chairman of Tata Group, India’s largest conglomerate which was started by his family five generations ago. Tata Group is heavily involved in the chemical, steel, and automotive industries and has the capital and global reach to easily purchase these two divisions from Alcoa.
Another potential buyer might come through Joseph Gorman, who holds directorships at Imperial Chemical Industries and Tonsburg Magnesium Group International. Imperial Chemical Industries is a world leader in the chemical field and specializes in polymers for personal care products, adhesives for the electronics and packaging markets, and coatings and specialty products for domestic use and the construction industry. Tonsburg Magnesium Group produces magnesium components for the automotive industry.
Two other potential interested parties (particularly in the automotive castings division) include Nissan Motor Co and Caterpillar Inc. Nissan CEO Carlos Ghosn and Caterpillar Chairman/CEO James Owens are both currently Directors at Alcoa.
With these corporate ties the possibility exists that Alcoa will quickly and easily find a buyer for its automotive castings and packaging and consumer business divisions.
Click here for an interactive version of this IntellectSpace Knowledge Map (Internet Explorer browsers only): http://nv.intellectspace.com
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