Apollo Global Management (NYSE:APO) has announced that it will acquire aluminum-products company Arconic Corp for roughly $3 billion, marking another move by the private-equity giant to expand its industrial holdings.
Arconic's stock soared by 28% on Thursday morning in New York to $28.77, following the announcement of the acquisition.
Apollo will pay $30 per share for the Pittsburgh-based firm, a premium of 36% compared to the closing price on Feb. 27, before the interest was disclosed.
Arconic's first-quarter financial results, also released on Thursday, showed sales of $1.93 billion, down 12% from a year ago but higher than the average analyst estimate of $1.85 billion.
Arconic is known for manufacturing aluminum sheets and plates for customers in the aerospace, automotive, and commercial transportation sectors.
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