Manufacturing News

Moly-Cop sold to private equity firm for $1.6 billion: report

American Industrial Partners has reportedly purchased Arrium’s Moly-Cop grinding media business for $US1.23 billion (about $1.6 billion) according to a report this morning.

The Australian Financial Review’s Street Talk column has reported the news, without mentioning a source.

The buyer is a US private equity firm, which “invests in industrial companies with operations in the United States and Canada” according to Reuters. It had previously been speculated that Moly-Cop was most likely to float on the ASX.

Moly-Cop has been referred to as the “crown jewel” of the Arrium group’s assets.

Arrium went into administration in April, owing $4.3 billion. Its other assets are being sold separately. A creditors’ meeting is being held today.

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