Alcoa’s Alumina Unit Announces $1 Billion Senior Notes Offering

Alcoa’s subsidiary, Alumina Pty. Ltd., has announced a proposed $1 billion offering of senior notes, according to a company news release on March 3. The notes will be guaranteed on a senior unsecured basis by Alcoa and select subsidiaries and will be offered in a private placement to qualified institutional buyers. The pricing and terms will depend on market conditions and other factors.

The proceeds from the offering will be allocated within the Alcoa group, including contributions to Alcoa Nederland Holding BV’s cash tender offers. These offers include purchasing up to $750 million of its 5.500% notes due 2027 and up to $250 million of its 6.125% notes due 2028. Any remaining funds will be used for general corporate purposes.

Alcoa reported an attributable net income of $202 million in the fourth quarter of 2024, reversing a loss of $150 million in the same period a year earlier. The turnaround was driven by higher prices and increased shipments, with revenue climbing to $3.49 billion from $2.60 billion.