Hindalco to acquire Novelis for $6 bn
India Inc.'s acquisitions binge continues to forge ahead. The latest in the fold is US based aluminium maker Novelis.
By Ramsurya Mamidenna, TNN |
MUMBAI: After the mega Tata-Corus deal, the Hindalco will take control of the US-based aluminium major Novelis. A formal announcement is expected later today.
Hindalco Industries, part of the Aditya Birla group, will acquire Novelis for $6 billion. The acquisition could become the second largest overseas buyout by an Indian metal company, after the recent $12.1 billion acquisition of Corus Plc by Tata Steel.
Hindalco is India's largest metal company with interests in aluminium and copper. Company sources had earlier indicated that the company was interested in an overseas acquisition.
With this acquisition, Hindalco will control Novelis' facility that includes aluminum rolling which produces an estimated 19% of the world's flat-rolled aluminium products. The $8.4 billion Novelis is the No 1 rolled products producer in Europe, South America and Asia, and the No 2 producer in North America.
Novelis was formed as a Canadian corporation in January 2005, after being spun off from Alcan. Novelis' shares are traded on the Toronto and New York Stock Exchanges under the symbol NVL. The company's executive offices are located in Atlanta, Georgia, USA
Hindalco Industries, part of the Aditya Birla group, will acquire Novelis for $6 billion. The acquisition could become the second largest overseas buyout by an Indian metal company, after the recent $12.1 billion acquisition of Corus Plc by Tata Steel.
Hindalco is India's largest metal company with interests in aluminium and copper. Company sources had earlier indicated that the company was interested in an overseas acquisition.
With this acquisition, Hindalco will control Novelis' facility that includes aluminum rolling which produces an estimated 19% of the world's flat-rolled aluminium products. The $8.4 billion Novelis is the No 1 rolled products producer in Europe, South America and Asia, and the No 2 producer in North America.
Novelis was formed as a Canadian corporation in January 2005, after being spun off from Alcan. Novelis' shares are traded on the Toronto and New York Stock Exchanges under the symbol NVL. The company's executive offices are located in Atlanta, Georgia, USA
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