Grupo FerroAtlántica and Globe Specialty Metals (GSM) agree to $3.1 billion merger

MADRID and MIAMI, Feb. 23, 2015 /PRNewswire/ -- Grupo FerroAtlántica, a world leading producer of silicon metal, silicon alloys and ferroalloys, and Globe Specialty Metals, Inc. (NASDAQ: GSM), one of the largest and lowest-cost, global silicon metal and silicon-based alloy producers, today announced they have entered into a definitive agreement under which the two companies will combine in an all-stock transaction to create a leading international silicon and specialty metals producer.  FerroAtlántica is wholly owned by Grupo Villar Mir, one of Spain's largest private companies.

Strategically positioned to benefit from fast-growing demand for solar, automotive, consumer products (silicones), construction and energy, the new company will be a world leading producer of silicon metal, silicon alloys and ferroalloys.

Juan Miguel Villar Mir (left) with Javier López Madrid (right), both of Ferroatlántica with the president of Globe, Alan Kastenbaum (center).

The new company will have a combined enterprise value of approximately $3.1 billion, pro-forma combined revenues of approximately $2.3 billion and earnings before interest, tax, depreciation and amortization (EBITDA) of approximately $325 million before synergies and will capitalize on an enhanced product offering and a diversified production base. It will have an expanded geographic reach, building on Globe's footprint in North America and FerroAtlántica's leading footprint in Europe, including access to FerroAtlántica's cost-efficient sources of hydroelectric power.

About Globe Specialty Metals

Globe Specialty Metals, Inc. is among the world's largest producers of silicon metal and silicon-based specialty alloys, critical ingredients in a host of industrial and consumer products. Customers include major silicone chemical, aluminum and steel manufacturers, auto companies and their suppliers, ductile iron foundries, manufacturers of photovoltaic solar cells and computer chips, and concrete producers. The Company is headquartered in Miami, Florida. For further information please visit our web site at www.glbsm.com. 

About Grupo FerroAtlántica

Grupo FerroAtlántica, S. A., is the parent company of a group of businesses in the following four areas: electrometallurgy, energy, mining and photovoltaic solar power. The Group currently operates fifteen production centres, working in the field of electrometallurgy: five in Spain, six in France, one in Venezuela, two in South Africa and one in China. Currently, the Group is a world-leader in the production of silicon metal, a leading producer of ferroalloys in the European Union, a leading independent Spanish producer of hydroelectric energy. Grupo FerroAtlántica, S. A. is wholly owned by Grupo Villar Mir. For more information, visit www.FerroAtlántica.es.