Hindalco to Take Over US Specialty Alumina Firm AluChem for $125 Million

Aditya Birla Group’s flagship metals firm, Hindalco Industries, has announced the acquisition of US-based specialty alumina company AluChem Companies, Inc. for $125 million. The company stated that the acquisition is primarily aimed at expanding its global footprint in the downstream portfolio of specialty alumina and alumina products.

AluChem will provide Hindalco with a strong presence in North America, with an annual capacity of 60,000 tonnes across three advanced manufacturing facilities located in Ohio and Arkansas. The company is a long-established supplier of ultra-low soda calcined alumina and tabular alumina—materials renowned for their exceptional thermal and mechanical stability, used in high-precision mechanical components and energy-intensive industrial refractories.

“This acquisition is an important step in our global strategy to build a leadership position in value-added, high-tech materials. Our strategic foray into the specialty alumina space will not only accelerate the development of future-ready, sustainable solutions but also open new pathways to pursue high-impact growth opportunities,” said Kumar Mangalam Birla, Chairman of the Aditya Birla Group.

Satish Pai, Managing Director of Hindalco Industries, noted that alumina is gaining increasing relevance in critical and clean-tech sectors.

“AluChem’s advanced chemistry capabilities will significantly enhance our ability to serve these fast-evolving markets. Importantly, it deepens our high value-added portfolio with differentiated products that drive profitability and strengthen our global competitiveness. It reinforces our commitment to innovation and to expanding our global footprint,” he said.

This marks Hindalco’s third acquisition of a US-based metals company. The journey began in 2007 with the landmark acquisition of Novelis Inc., a global leader in rolled aluminium products. In 2020, Novelis expanded further by acquiring Aleris Corp., known for its wide range of aluminium offerings, including aerospace-grade products.

Hindalco currently operates 500,000 tonnes of speciality alumina production capacity in India, with plans to double this to 1 million tonnes by FY30. For the March quarter, the company posted a robust 66% year-on-year increase in consolidated net profit, reaching ₹5,283 crore, up from ₹3,174 crore in the same period last year.

Hindalco's shares rose 0.65% during afternoon trade on the BSE, trading at ₹673.90 per share.