Pryor Cashman Advises Nabaltec AG on Acquiring Interest in Nashtec
Pryor Cashman advised German-based Nabaltec AG on its acquisition of a 49% membership interest in the Nashtec LLC joint venture held by Allied Alumina LLC, an affiliate of Sherwin Alumina Company LLC. The transaction closed on March 17, 2017. Nabaltec now holds all membership interest in Nashtec.
After filing for bankruptcy in January 2016, Sherwin Alumina wound down its operations and sold virtually all of its assets to Corpus Christi Alumina LLC under a chapter 11 plan of liquidation. Prior to its bankruptcy, Sherwin Alumina was the raw materials supplier for Nashtec and held certain claims arising from loans which were provided to Nashtec. Pursuant to the transaction, these claims have been acquired by Nabaltec, which also secured: (i) from Corpus Christi Alumina, an adjacent parcel of land with production buildings and technical equipment; and (ii) from Glencore Ltd., a stock of aluminum hydroxide for the supply of raw material following the completion of the stand-alone solution.
With this acquisition, Nabaltec can begin retooling Nashtec's production facility in Corpus Christi, Texas, ensuring the survival of Nashtec and its operations.
The Pryor Cashman Team
Representing Nabaltec in the transaction was Juergen R. Ostertag, head of Pryor Cashman’s German practice, along with Richard Levy, Jr., Co-Chair of the firm’s Bankruptcy, Reorganization + Creditors’ Rights Group, Real Estate Partner Samson Bechhofer and Corporate Associate Gene Levin.
