Aditya Birla Acquires Specialty Alumina Manufacturer in the U.S.
2025-06-30 16:20
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Wedoany.com Report-Jun. 30, Hindalco Industries Ltd., the metals flagship of the Mumbai-based Aditya Birla Group, has announced the acquisition of a 100% equity stake in AluChem Companies, Inc., a US-based manufacturer of specialty alumina, for $125 million. The transaction, executed through Aditya Holdings LLC, a wholly owned subsidiary, strengthens Hindalco’s position in high-value, technology-driven materials. The deal, announced in June 2025, is expected to close in the upcoming quarter, pending regulatory approvals.

Hindalco’s specialty alumina business has seen consistent double-digit growth, becoming a high-margin segment. The acquisition of AluChem, with its 60,000-ton annual capacity across facilities in Ohio and Arkansas, enhances Hindalco’s ability to serve growing markets like electric mobility, semiconductors, and precision ceramics. AluChem specializes in ultra-low soda calcined and tabular alumina, used in high-precision components and industrial refractories due to their thermal and mechanical stability.

Kumar Mangalam Birla, Chairman of Aditya Birla Group, stated: “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.”

Satish Pai, Managing Director of Hindalco Industries, added: “This acquisition marks a pivotal step in strengthening our capabilities in next-generation alumina applications. As alumina gains increasing relevance in critical and clean-tech sectors, AluChem’s advanced chemistry capabilities will significantly enhance our ability to serve these fast-evolving markets.”

Saurabh Khedekar, CEO of Hindalco’s Alumina Business, noted: “The acquisition unlocks immediate synergies for Hindalco, including market access and product portfolio expansion. Hindalco plans to work with AluChem’s high-performance technology solutions and scale up production of ultra-low soda alumina products to drive larger global market share.” Ronald P. Zapletal, Founder of AluChem, said: “This partnership with Hindalco brings AluChem the ability and capital to scale up faster and build scale in North America. Aluchem will benefit from their world-class sustainability and safety standards and practices.”

The global specialty alumina market is poised for significant growth, driven by demand in ceramics, electronics, aerospace, and medical applications. Hindalco, with a current capacity of 500,000 tons, aims to reach 1 million tons by 2030. This acquisition supports Hindalco’s strategy to expand its value-added portfolio, enhance innovation, and strengthen its global presence in sustainable, high-tech manufacturing.

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