Hindalco to acquire Alcan stake in Utkal Alumina

Hindalco Industries Ltd on July 18, 2007 announced an agreement reached with Alcan Inc. Canada (Alcan) for the sale to the Company by Alcan of its participating interest in the Utkal Alumina Project in Orissa. The transaction is set for closing approximately in the next 30 days time.

The conclusion of the transaction marks the complete exit of Alcan from the Utkal project. Alcan will have no surviving rights or obligations, as the Company becomes the 100 per cent owner, of the Utkal project.

The Company and Alcan will continue to have a cordial business association given that Alcan has ongoing contracts with Novelis. It is also the technology provider to the Utkal alumina project and some other alumina projects of the Company.

The stock was trading at Rs.188.65, up by Rs.4.35 or 2.36%. The stock hit an intraday high of Rs.191.90 and low of Rs.185.15. The total traded quantity was 926227 compared to 2 week average of 2249969.

Source : Equity Bulls

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