High purity alumina (HPA) specialist Altech Chemicals Limited (ASX: ATC) has completed the acquisition of an interest in Frankfurt stock exchange listed Youbisheng Green Paper AG (re-named Altech Advanced Materials AG (AAM)).
The ASX-listed company has also successfully completed the sale of a right to AAM for it to acquire up to a 49% interest in Altech’s high purity alumina (HPA) project for US$100 million.
Altech has received the non-refundable fee of €500,000 from AAM as consideration for the sale of the right, and has issued €1 million worth of Altech fully paid ordinary shares and paid €500,000 in cash to Deutsche Balaton AG – the seller of the 29% interest in AAM.
AAM shareholders have approved a share issue to raise €69.4 million.
The company is currently n the process of aligning its corporate branding with that of Altech in anticipation of its status as HPA project joint venture partner.
“We are very excited with the prospect of working with AAM on its European marketing campaign and implementing our German project equity strategy,” Altech managing director Iggy Tan said.
“As we have previously mentioned, Altech’s German equity strategy does not preclude the other joint venture partner initiatives that are also underway, nor does it replace the mezzanine debt initiative that is progressing with Macquarie Bank.”