New Delhi [India], November 15 (ANI): Hindalco Industries on Sunday said Novelis Inc., its US-based subsidiary, has agreed to sell two Chinese subsidiaries for about USD 265 million. The proposed sale includes the subsidiary that operates Novelis’s automotive aluminium plant in Changzhou, China.
The deal also provides for an additional USD 10 million payment if specified conditions are met. The two subsidiaries together accounted for about 1 per cent of Hindalco’s consolidated net sales in FY26.
Novelis signed the agreement on Saturday to sell Novelis (China) Aluminum Products Co Ltd and Novelis (Shanghai) Aluminum Trading Co Ltd to Shenzhen Hongzhi Industrial Investment Co Ltd and/or one or more of its affiliates, Hindalco said in a stock exchange filing.
“Closing is expected to occur within 12 months of the execution date, subject to regulatory approvals,” Hindalco said.
The two units recorded net sales of Rs 3,319 crore in FY26 and contributed Rs 2,420 crore to Hindalco’s net worth at the end of the financial year, or about 2 per cent of the group’s net worth.
The Changzhou plant makes aluminium sheet for lightweight vehicle structures and body panels. Novelis lists its Zhenjiang operation, which makes products for the aerospace and industrial sectors, under a separate Chinese subsidiary outside the announced sale.
Hindalco said the sale is not a related-party transaction. The filing did not disclose the reason for the sale. (ANI)
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