Novelis To Attempt US Listing Again Next Year, Says Hindalco MD Satish Pai
The initial public offering of the Hindalco aluminum subsidiary was set for 2024, but was postponed in June 2024 due to 'adverse market condition'.
Any next attempt to list Novelis Inc. in the US would be in 2025, said Satish Pai, managing director of Hindalco Industries Ltd. in a Bloomberg interview on Aug. 14.
The initial public offering of the Hindalco aluminum subsidiary was set for 2024, but was postponed in June 2024 due to "adverse market conditions".
The company only went ahead for the listing of Novelis with the aim to get a premium valuation, Pai said. "We do not need the money for Hindalco's operations in India."
When the company initially went for the IPO, it did not get the premium valuations Novelis deserved, according to Pai.
The timeline of the potential listing will depend on accessing US market conditions, but any next attempt for the listing of the aluminium producer would be in 2025.
About The IPO
The initial public offering of Novelis would have been one of the biggest US listings in 2024.
The company had planned to sell 45 million shares at a price band of $18 to $21 apiece. Hindalco Industries would have owned about 92.5% of the company after the IPO.
At the upper end of the price band, Novelis would have a market value of about $12.6 billion, based on the outstanding shares listed in its filing with the US Securities and Exchange Commission.
