HONG KONG and BEIJING, Nov. 13, 2017 /PRNewswire/ -- Zhongwang USA LLC ("Zhongwang USA" or the Company"), today announced that the merger agreement between Zhongwang USA and Aleris Corporation ("Aleris") has been terminated upon mutual agreement and its expiration on 12 November 2017. The decision was driven by uncertainty related to the receipt of CFIUS approval from the United States government. The companies entered into the merger agreement 15 months ago in August 2016.
Zhongwang USA expressed disappointment that the acquisition would not proceed and said, "Through the proposed acquisition, the Company was committed to preserving American jobs and investing substantial funds into Aleris, beyond the purchase price. The Aleris acquisition was a win-win opportunity for American workers and Zhongwang USA, particularly in Kentucky, Ohio, Michigan, and Iowa, where Zhongwang's substantial additional capital investment would increase productivity and American competitiveness while supporting in excess of 1,000 new jobs across four states."
The Company added, "Although deeply disappointed by the outcome, this has been a constructive process for Zhongwang USA, and our executives have tremendous respect for the management and workers at Aleris -- they are a world-class team."
The Company and its investors will continue to pursue expansion opportunities, including positive, job-creating opportunities in the United States and other parts of the world.
About Zhongwang USA LLC
Zhongwang USA LLC is an investment company majority-owned by Mr. Liu Zhongtian, founder of China Zhongwang Holdings Limited. China Zhongwang is the world's second largest industrial aluminium extrusion developer and manufacturer. It was listed on the Main Board of The Stock Exchange of Hong Kong in 2009.