AV Birla scoops up Novelis for $6 billion
Hindalco announced on Sunday that it will add to its strengths in low-cost metal production by buying Novelis.
By TNN |
MUMBAI: ALUMINIUM maker Hindalco has expanded the Global Indian Takeover to the US, sealing a $6 billion all-cash deal to acquire the Atlanta-based Novelis just days after the Tata group signalled India Inc’s determination in global buyouts by snapping up Corus for about $12 billion.
Hindalco announced on Sunday that it will add to its strengths in low-cost metal production by buying Novelis, a world-class technology company and supplier of key products such as aluminium sheets for Jaguar and beverage cans for Coke.
The buyout will also make Hindalco a Fortune 500 company, the third Indian private sector company to join the elite club after Reliance and Tata Steel.
“This acquisition makes Hindalco one of the largest integrated aluminium players globally and the largest producer of flat rolled products (FRP),” said a beaming Kumar Mangalam Birla, chairman, AV Birla group on Sunday evening. Novelis is the largest flat rolled products player in the world with a 19% share of the global market. This is India Inc’s second-largest overseas takeover after Tata’s $12 billion deal for Corus.
Hindalco announced on Sunday that it will add to its strengths in low-cost metal production by buying Novelis, a world-class technology company and supplier of key products such as aluminium sheets for Jaguar and beverage cans for Coke.
The buyout will also make Hindalco a Fortune 500 company, the third Indian private sector company to join the elite club after Reliance and Tata Steel.
“This acquisition makes Hindalco one of the largest integrated aluminium players globally and the largest producer of flat rolled products (FRP),” said a beaming Kumar Mangalam Birla, chairman, AV Birla group on Sunday evening. Novelis is the largest flat rolled products player in the world with a 19% share of the global market. This is India Inc’s second-largest overseas takeover after Tata’s $12 billion deal for Corus.
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