Selling aluminium

is to sell its 46.5% stake in the Norwegian metals firm

to

, one of

's largest listed companies, for approximately $870 million.

In January this year, Orkla increased its holdings in Elkem to a 50.03% stake and subsequently launched an offer to buy all remaining shares for 236 Norwegian Kroner (NOK) each.

“We consider Elkem a well-run company with good prospects," said Alain Belda, Alcoa Chairman and CEO. "However, we see no point in remaining a minority partner. We prefer to manage our assets, and this offer gives our shareholders a very strong return on our investment in the company and allows us to use the cash more effectively on other projects with better returns."

Alcoa will, however, retain a 50% stake in Elkem Aluminium, a company that operates two aluminium smelters in Lista and Mosjoen in Norway with a combined production capacity of 282,000 metric tons per year.

In January, Alcoa announced that is was planning ways to streamline its operations, and as a result will be laying-off around 2,000 positions over the next twelve months. The company anticipates saving $45 million in the process.