Hindalco Shares Rise as Subsidiary Novelis to Acquire US-Based AluChem for Rs 1,075 Crore
Hindalco shares edge higher after its US-based arm Novelis announces acquisition of AluChem for Rs 1,075 crore, strengthening its specialty alumina portfolio and global footprint
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Hindalco Industries' share price moved slightly higher in Tuesday's trade after its wholly owned subsidiary, Novelis Inc., announced the acquisition of US-based AluChem for approximately Rs 1,075 crore (USD 130 million).
The acquisition aims to expand Novelis' capabilities in the high-margin specialty alumina market, particularly in non-metallurgical applications such as refractory, ceramics, and glass. AluChem, headquartered in Cincinnati, Ohio, is a major producer of specialty alumina products, which are critical in advanced manufacturing and industrial sectors.
According to Hindalco, this strategic acquisition will help diversify its portfolio and enhance its presence in the value-added segment of the global aluminium supply chain.
Market participants reacted positively to the news. Hindalco shares gained modestly on the NSE, reflecting investor optimism around the deal’s long-term value potential.
With this acquisition, Hindalco continues to build on its global strategy through its downstream arm Novelis, further strengthening its position in the aluminium value chain.
