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Hindalco

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Subject: List of chief executive officers, Marathwada, Silvassa, Sonbhadra district, Mirzapur division, St. Patrick's Higher Secondary School, Novelis, Renukoot, Singrauli, Muri, Ranchi
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Hindalco

Hindalco Industries Ltd
public company
Traded as Template:BSE
Template:NSE
BSE SENSEX Constituent
Industry Metals
Founded 1958[1]
Headquarters Mumbai, Maharashtra, India
Area served Worldwide
Key people Kumar Mangalam Birla (Chairman)
Products Aluminum and copper products
Revenue INR816.04 billion (Template:INRConvert/USD) (2012)
Net income INR33.96 billion (Template:INRConvert/USD) (2012)
Total assets INR225.34 billion (Template:INRConvert/USD) (2012)
Employees 19,341 (2011)
Parent Aditya Birla Group
Website

Hindalco Industries Ltd. is an aluminium manufacturing company and is a subsidiary of the Aditya Birla Group.[2] Its headquarters is at Mumbai, Maharashtra, India.

Financial information

The company has annual sales of US$14 billion and employs 19,975 people and is listed on Forbes 2000. A metals powerhouse with a turnover of US$14 billion, Hindalco is one of the world's largest aluminium rolling companies and one of the biggest producers of primary aluminium in Asia.[3]

History

The Hindustan Aluminum Corporation Limited was established in 1958 by the Aditya Birla Group. In 1962 the company began production in Renukoot in Uttar Pradesh making 20 thousand metric tons per year of aluminium metal and 40 thousand metric tons per year of alumina. In 1989 the company was restructured and renamed Hindalco.[4]

Novelis acquisition

On 11 February 2007, the company entered into an agreement to acquire the Canadian company Novelis for US$6 billion, making the combined entity the world's largest rolled-aluminium producer.[5] At 2007 Novelis was the world's largest producer of rolled aluminium and a major recycler of aluminium cans.[4] On 15 May 2007, the acquisition was completed with Novelis shareholders receiving $44.93 per outstanding share of common stock.

Hindalco, through its wholly owned subsidiary AV Metals Inc., acquired 75,415,536 common shares of Novelis, representing 100 percent of the issued and outstanding common shares. Immediately after closing, AV Metals Inc. transferred the common shares of Novelis to its wholly owned subsidiary AV Aluminum Inc.

When Hindalco made this bid in 2007 this became the largest Indian investment in North America and the second-largest overseas investment by an Indian company (behind Tata Steel Europe's purchase of Corus two weeks earlier) to this time.[4]

The day after Hindalco announced the acquisition its stock fell by 13% resulting in a US$600 million drop in market capitalisation. Shareholders criticised the deal but K.M. Birla responded that he had offered a fair price for the company and stated, "When you are acquiring a world leader you will have to pay a premium."[4]

Other acquisitions and takeovers

In June 2000, acquisition of controlling stake in Indian Aluminium Company Limited (Indal) with 74.6 per cent equity holding.[6]

In July 2007, Hindalco announced it is acquiring the stake of Alcan Inc.'s in the Utkal Alumina Project located in Orissa.

Forbes ranking

Hindalco is listed on the 2011 Forbes Global 2000 at the position 643.[7]

References

External links

  • Official site
Companies portal

Template:Aditya Birla Group

Template:Mirzapur Division topics

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