The sources cautioned no deal may be reached in addition to asked not to be identified because the matter is actually confidential.
Arconic, Elliott, Carlyle, KKR in addition to Onex did not immediately respond to requests for comment. Apollo in addition to Blackstone declined to comment.
The Wall Street Journal first reported last month which Arconic was attracting interest via private equity firms.
Arconic’s products, which are made of aluminum, titanium or nickel, are used around the entire world by aerospace, automotive, commercial transportation in addition to packaging manufacturers. The company features a market capitalization of $10.3 billion.
As planemakers ramp up production to satisfy growing global demand for air travel, Pittsburgh-based Arconic is actually paying more attention to aircraft parts. Several parts suppliers are increasing hiring in addition to capital expenditure to meet delivery targets.
The announcement of the plan to sell Arconic’s building in addition to construction systems division, which makes facades, windows in addition to framing products, came one year after a major fire broke out at Londons Grenfell Tower apartment complex, where the company’s Reynobond PE panels were used from the cladding. More than 70 people were killed from the blaze.
Higher aluminum prices lowered Arconics operating income by $20 million from the second quarter, Chief Financial Officer Kenneth Giacobbe said on a conference call with analysts last month.
However, sales across Arconic’s three major businesses – transportation in addition to construction, engineered products in addition to global rolled products – increased between 7.5 percent in addition to 14 percent.