Chalco and Rio Tinto Secure Control of Brazilian Aluminum Firm CBA in $886 Million Deal

In a landmark transaction valued at $886 million (BRL 4.69 billion), China’s Aluminum Corporation of China Ltd. (Chalco) and Rio Tinto Group have jointly acquired a 68.596% controlling stake in Companhia Brasileira de Alumínio (CBA) from Votorantim Group. This deal, finalized on February 18, 2026, represents the largest aluminum-sector deal in Brazil in the past 15 years and marks Chalco’s first venture into the Latin American market.

Strategic Implications of the Acquisition

The acquisition provides Chalco with access to a fully integrated, market-leading aluminum producer in Brazil. For Rio Tinto, the deal aligns with its strategy to expand its low-carbon, renewable-powered aluminum footprint in rapidly growing markets. The joint venture, incorporated in Brazil, will be structured with Chalco holding a 67% stake and Rio Tinto holding the remaining 33%.

Joint Venture and Tender Offer

Following customary regulatory approvals, the joint venture will launch a mandatory tender offer for the remaining outstanding shares of CBA, as required by Brazilian law. This move signifies a significant step towards consolidating control over CBA’s operations and solidifying the position of both Chalco and Rio Tinto in the Brazilian aluminum market.

Legal Counsel

Mayer Brown and Tauil & Chequer (T&C) in association with Mayer Brown advised Chalco on the transaction. The Brazil-based legal team was led by Bruno Werneck and Julio Barboza and included a team of partners and associates specializing in corporate & securities, tax, and real estate law.

China’s Growing Influence in Brazil’s Mineral Sector

This acquisition reinforces China’s increasing footprint in Brazil’s strategic mineral assets sector. The deal secures access to low-carbon aluminum production amid rising metal prices, positioning both Chalco and Rio Tinto to capitalize on the growing demand for sustainable materials.

Key Takeaways

• Chalco and Rio Tinto have jointly acquired a controlling stake in CBA for $886 million.
• The deal represents the largest aluminum-sector transaction in Brazil in 15 years.
• Chalco gains its first foothold in the Latin American aluminum market.
• The acquisition strengthens both companies’ commitment to low-carbon aluminum production.
• China’s influence in Brazil’s mineral sector continues to grow.