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ALFA shareholders approved proposal to spin off Nemak
Monterrey, Mexico. August 17, 2020. — Nemak, S.A.B. de C.V. ("Nemak" or "the Company") (BMV: NEMAK) today announced that shareholders of its parent company, ALFA S.A.B. de C.V. (BMV: ALFAA) (“ALFA”), have approved a proposal to transfer ALFA’s entire share ownership in Nemak to a new entity to be listed on the Mexican Stock Exchange: Controladora Nemak, S.A.B. de C.V. (“Nemak-Holding”) (BMV: NMK).
Under the proposal, ALFA shareholders will receive one share of Nemak-Holding for each of their ALFA shares, in addition to retaining their share ownership in ALFA's equity. Nemak-Holding will trade separately from Nemak on the Mexican Stock Exchange.
“This decision marks a new milestone for Nemak. We have been operating as a stand-alone business both operationally and financially for some time, and I am confident that we are ready to take this new step in our growth and transformation journey,” said Armando Tamez, Nemak’s CEO.
“We see becoming a fully independent company as an opportunity to reinforce our efforts to leverage our technological capabilities in vehicle lightweighting and electrification to drive sustainable, long-term value creation for Nemak stakeholders,” he concluded.
Nemak is a leading provider of innovative lightweighting solutions for the global automotive industry, specializing in the development and manufacturing of aluminum components for powertrain, e-mobility, and structural applications. In 2019, it generated revenue of US$4.0 billion. For more information about Nemak, visit www.nemak.com