PR88373

NEW YORK, March 5, 2021 /PRNewswire=KYODO JBN/ --

-- Global Leader in Aluminum Rolling to Become Independent Company

-- KPS to Leverage Successful Track Record Investing in Metals to Accelerate

Growth

KPS Capital Partners, LP ("KPS") today announced that it has signed a

definitive agreement to acquire the global aluminum rolling business ("Rolling"

or the "Company") from Norsk Hydro ASA (NHY.OL, "Hydro") for (EUR)1.38 billion

(approximately $1.67 billion). Completion of the transaction is expected

mid-year 2021 and is subject to customary closing conditions and approvals.

Logo - https://mma.prnewswire.com/media/1023167/KPS_Logo.jpg

The Company is one of the largest global manufacturers of aluminum rolled

products, serving customers across a diversified set of end-markets including

beverage can, automotive, foil packaging, and building and construction. The

Company's assets consist of seven manufacturing facilities and one R&D center

across Germany and Norway, including Alunorf, the world's largest aluminum

rolling mill, and Grevenbroich, the world's largest rolled aluminum finishing

mill. The Company employs approximately 5,000 employees mainly in Germany and

Norway.

Michael Psaros, Co-Founder and Co-Managing Partner of KPS, said, "The size and

global scale of the Rolling business, the quality of its assets, coupled with

the breadth of its products and technology capabilities, form the foundation of

a tremendous investment platform. KPS Partner Kyle Mumford will lead a KPS team

who will work closely with the Company's management team to accelerate growth

opportunities driven by substantial investment in the Company's assets and

operations. Our focus will be on innovation and new product development. We

look forward to creating value by leveraging KPS' very successful, multidecade

experience investing in the metals and automotive industries."

Einar Glomnes, Executive Vice President of Rolling said, "We are excited to

operate under KPS' ownership as an independent company. This is a great day for

all stakeholders of our Rolling business, especially our customers and

employees. KPS has a demonstrated track record of creating and building

industry-leading companies, and has enjoyed tremendous success investing in the

metals and automotive industries. KPS' global reach, commitment to

manufacturing excellence and safety and significant financial resources will

enable our company to accelerate growth and invest in industry-leading

technologies, while maintaining our focus on quality and customer service."

Perella Weinberg Partners acted as advisor and Paul, Weiss, Rifkind, Wharton &

Garrison LLP served as legal counsel to KPS and its affiliates. Goldman Sachs

acted as advisor and Clifford Chance LLP served as legal counsel to Hydro.

About Rolling

Rolling is a leading manufacturer of advanced rolled aluminum products,

producing approximately one million tonnes per year, with over a century of

experience. Rolling operates seven manufacturing plants, an R&D center, nine

sales offices globally, and has approximately 5,000 employees mainly across

Germany and Norway. Rolling is proud to serve some of the most well-known

brands in the automotive, packaging, printing, engineering, building and

construction industries.

About Hydro

Hydro is a leading industrial company that builds businesses and partnerships

for a more sustainable future. The company develops industries that matter to

people and society. Since 1905, Norway-based Hydro has turned natural resources

into valuable products for people and businesses, creating a safe and secure

workplace for its 34,000 employees in more than 140 locations and 40 countries.

Today, Hydro owns and operates various businesses and has investments with a

base in sustainable industries. Hydro is, through its businesses, present in a

broad range of market segments for aluminum, energy, metal recycling,

renewables and batteries. Hydro is committed to leading the way towards a more

sustainable future, creating more viable societies by developing natural

resources into products and solutions in innovative and efficient ways.

About KPS Capital Partners

KPS, through its affiliated management entities, is the manager of the KPS

Special Situations Funds, a family of investment funds with over $12.3 billion

of assets under management (as of December 31, 2020). For nearly three decades,

the Partners of KPS have worked exclusively to realize significant capital

appreciation by making controlling equity investments in manufacturing and

industrial companies across a diverse array of industries, including basic

materials, branded consumer, healthcare and luxury products, automotive parts,

capital equipment and general manufacturing. KPS creates value for its

investors by working constructively with talented management teams to make

businesses better, and generates investment returns by structurally improving

the strategic position, competitiveness and profitability of its portfolio

companies, rather than primarily relying on financial leverage. The KPS Funds'

portfolio companies have aggregate annual revenues of approximately $10.6

billion, operate 159 manufacturing facilities in 22 countries, and have

approximately 34,000 employees, directly and through joint ventures worldwide.

The KPS investment strategy and portfolio companies are described in detail at

www.kpsfund.com.

SOURCE: KPS Capital Partners, LP