Norsk Hydro could buy stakes from other minority shareholders at Brazil’s bauxite producer MRN, German bank Berenberg said in a note to investors this week, after talking to Vale.
Vale said earlier this week it ended negotiations with Hydro, in which Vale would sell a 40 percent stake it owned in MRN to Hydro.
“The two companies made an intention letter in October 2015 related to the potential transaction, but they couldn’t agree on the commercial terms of the deal,” Vale explained in a document filing this week.
Hydro has a 5 percent stake in MRN.
According to Hydro, MRN is located in the westernmost part of the Para state, where Hydro has other Brazilian operations. MRN is said to be one of the world's largest bauxite producers. Shareholders at MRN include Vale (40 percent), Alcoa (18.2 percent), South 32 (14.8 percent), Rio Tinto (12 percent) and CBA (10 percent).