FRANKLIN (AP) - Noranda Aluminum Holding Corp. said Wednesday that Apollo Management plans to sell at least 10 million shares of Noranda stock, relinquishing majority control of the company.
Noranda said funds connected to Apollo plan to sell 10 million shares of its stock, and they may sell another 1.5 million shares to cover any over allotments, or excess demand. The sale is expected to close Monday, and Noranda won't receive any of the proceeds.
Apollo Global Management LLC is by far Noranda's largest shareholder. While it will remain the largest shareholder after the sale is complete, it will own less than 50 percent of the voting power of Noranda common stock. Noranda said it will no longer qualify as a controlled company under New York Stock Exchange standards.
UBS Investment Bank is the underwriter of the sale.
Shares of Noranda Aluminum Holding fell 80 cents, or 7.1 percent, to $10.47 in morning trading. The stock has tr aded between $6.67 and $17.82 over the last year.