A union trust plans to sell about $115 million of shares in Foothill Ranch-based Kaiser Aluminum Corp., which emerged from bankruptcy reorganization earlier this year.
A U.S. Steelworkers Union trust is selling the 2.5 million shares in the maker of aluminum products. The trust provides benefits to union members.
As part of Kaiser Aluminum’s reorganization, the steelworkers union ended up holding a majority of the company to pay off retiree medical benefits.
Kaiser isn’t raising any money in the sale. The company had a recent market value of $825 million.
The company spent the past four years in bankruptcy court, haggling with unions about benefits and lawyers involved in asbestos litigation.
Kaiser sought bankruptcy as a way to slim down the company to better compete in the market for aluminum products.
The company used to make aluminum but now prefers to shape it into custom pieces for customers, which include Boeing Co., automakers and appliance companies. They use Kaiser’s parts in anti-lock brakes, water heaters and airplane wings.
