Elkem Silicon Materials (polysilicon) and Elkem Solar (solar wafers) are part of a business divesture plan of Norwegian conglomerate, Orkla to primarily state-owned Chinese chemical firm, China National Bluestar. The US$2 billion all cash transaction also includes Elkem’s Aluminium and carbon’s businesses. Completion of the deal is expected during the 1st half of 2011.
“It is important to secure that Elkem has a new owner able to further develop its potential and keep its competence and resources united,” commented Bjørn M. Wiggen, President and CEO of Orkla ASA. “In Bluestar, Elkem will have an owner that has solid financial capacity and is well positioned in the world’s largest market for metals and renewables. Bluestar has the best attributes to take advantage of the potential of Elkem’s technological strength and competence.”
Okla noted that the solar operations would remain in Norway and that Elkem Solar’s technology for polysilicon production had significantly lower energy consumption than traditional technologies
“For Bluestar, the combination with Elkem will give them access to Elkem’s excellent management experience and industry-leading technological know-how. We strongly believe in the huge potential for Elkem’s new solar-grade technology,” added Ren Jianxin, President of Chemchina and Chairman of Bluestar.
Polysilicon production capacity at Elkem for its first plant at Fiskaa was 6,000MT and cost approximately US$600 million to build in 2009.