Hindalco Unit Novelis Delays US IPO Amid Market Conditions

Novelis Inc., the US subsidiary of Hindalco Industries, has postponed its initial public offering (IPO) due to market conditions. The company had planned to offer 45 million shares at a price range of $18 to $21 per share, aiming to raise between $810 million and $945 million. The anticipated proceeds from the IPO were expected to be between $931.5 million and $1.08 billion, marking it as potentially the largest IPO by an Indian company in the US. Post-IPO, Hindalco would have retained a 92.5% ownership of Novelis, holding 555 million common shares.

Novelis, the world's largest recycler of aluminum and a major producer of flat-rolled aluminum products, was acquired by Hindalco in 2007. The company continues to evaluate the timing of the IPO. Hindalco's shares saw a 7.5% decline following the announcement.