Sept 29 Aluminum producer Alcoa Inc said
on Thursday its split into two publicly traded companies is
expected to be effective Nov. 1, after the company's board
approved the separation.
Alcoa said last year it would break itself in two,
separating a faster growing plane and car parts business from
the traditional aluminum smelting and refining operations, as
shareholders sought higher returns amid a commodity slump.
The aluminum producer had said it would change its name to
Arconic Inc and focus on engineering products for aerospace and
automotive businesses, and spin off its smelting and refining
divisions into a new company, Alcoa Corp.
The board of directors of each company will review and
determine the dividend policy of each company, following the
completion of the separation, Alcoa said on Thursday.
Alcoa said it will hold a special shareholder meeting on
Oct. 5 to seek approval of a reverse split of common stock at a
ratio of 1 for 3 and authorized share count reduction.
If the reverse stock split is approved, shareholders will
receive one share of Alcoa Corp common stock for every three
shares of Alcoa Inc common stock held as of Oct 20, at the time
If the reverse stock split is not approved, Alcoa Inc
shareholders will receive one share of Alcoa Corp common stock
for every nine shares of Alcoa Inc common stock held as of the
(Reporting by Ankit Ajmera in Bengaluru)