Multibillion-dollar buyout of U.S. company linked to deadly London tower fire called off

Arconic made flammable panels linked to the Grenfell Tower blaze in 2017

National /
Jan.January 26, 2019 09:00 AM

(Credit: ChiralJon/Flickr)

The multibillion-dollar sale of Arconic, which manufactured flammable panels tied to the deadly London tower fire in 2017, fell through after the company’s board rejected offers from private equity firms, including Apollo and Blackstone.

Apollo had even secured financing on Wall Street to fund the deal, offering Arconic $22.20 per share, according to the Financial Times.

The Philadelphia-based manufacturing company supplied the cladding panels fitted to the outside of the Grenfell Tower in West London, which was engulfed by a fire two years ago, killing 72 people and displacing 200 households.

Potential buyers of Arconic were challenged by the potential liabilities tied to the fire and lawsuits filed by unhappy investors.

While lawyers say that damages awards to victims in the U.K. is unlikely, if victims persuade an American court to assume jurisdiction, it’s more likely that Arconic would have to pay out settlements to victims. [FT] – Katherine Kallergis


Related Articles

arrow_forward_ios
Robert Finvarb and Abraham “Abie” Hidary with the site at 2534 North Miami Avenue (Koniver Stern Group)
Hidrock Properties, Robert Finvarb pay $13M for Wynwood site
Hidrock Properties, Robert Finvarb pay $13M for Wynwood site
The current Miami Beach North Shore library with Mayor Dan Gelber (Google Maps, Gelber)
Miami Beach seeks buyers for city-owned development sites
Miami Beach seeks buyers for city-owned development sites
Developer David Edelstein and Robert Levine of RAL Development with the project (Getty, RAL)
David Edelstein, partner close on missing piece of Wynwood assemblage for office towers
David Edelstein, partner close on missing piece of Wynwood assemblage for office towers
David Grutman and Pharrell’s Goodtime Hotel had received nearly 30 noise violations (Carma Connected, Getty)
Too much of a good time? David Grutman and Pharrell’s Goodtime Hotel could lose entertainment permit
Too much of a good time? David Grutman and Pharrell’s Goodtime Hotel could lose entertainment permit
Related Companies Chairman Stephen Ross with One Flagler (Related, Getty)
Prayers answered? Related Companies closes on church site for planned office tower in downtown West Palm
Prayers answered? Related Companies closes on church site for planned office tower in downtown West Palm
Grover Corlew principal Mark Corlew with Bank of America Tower in Boca Raton (Grover Corlew)
Grover Corlew buys Bank of America Tower in Boca Raton for $45M
Grover Corlew buys Bank of America Tower in Boca Raton for $45M
The partially collapsed 12-story Champlain Towers South condo building (Getty)
Inside the tug-of-war over the Surfside condo site’s future
Inside the tug-of-war over the Surfside condo site’s future
Moishe Mana and the downtown parking lot he purchased (Google Maps, Getty)
Moishe Mana expands downtown Miami assemblage with $12M purchase
Moishe Mana expands downtown Miami assemblage with $12M purchase
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...