Citic Resources Sells Alcoa Stake for Over $247 Million

Key Transaction Details

Citic Resources has finalized the sale of 3.82 million Alcoa Chess Depositary Interests (CDIs) at an average price of $64.75 each. According to a filing with the Hong Kong Stock Exchange, the transactions were executed on the New York Stock Exchange, generating significant proceeds for the company.

Overview of the Divestment

This sale represents approximately 1.45% of Alcoa's total issued shares. Citic Resources stated that it considered this an appropriate opportunity to divest its holdings in the global aluminum producer, signaling a strategic move to reallocate capital and realize the value of its investment.

Market and Stock Impact

Following the disclosure of the transaction, trading in Citic Resources shares was scheduled to resume. This divestment, while representing a small fraction of Alcoa's total equity, is a notable strategic action by Citic. Investors will be watching the market's response to both Citic Resources' and Alcoa's stock performance in the upcoming sessions.

Summary

The transaction allows Citic Resources to capitalize on its Alcoa investment. The market will now focus on the company's future capital allocation strategies and any potential shifts in Alcoa's shareholder base.

FAQ

Q: How many Alcoa shares did Citic Resources sell?
A: Citic Resources sold 3.82 million Alcoa CDIs.

Q: What was the total value of the sale?
A: The total value is approximately $247.3 million, calculated from the average sale price of $64.75 per CDI.

Source: Investing.com