Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, and AluChem Companies Inc have mutually decided to terminate the Equity Purchase Agreement for the proposed acquisition of AluChem due to extended closure delays beyond the control of either party.
Hindalco had announced in June 2025 that it would acquire a 100% equity stake in the US-based specialty alumina manufacturer for an enterprise value of $125 million.
The acquisition was to be carried out through Aditya Holdings LLC, a step-down wholly owned subsidiary of Hindalco.
Acquisition plan called off
AluChem is a prominent manufacturer of specialty calcined and tabular alumina and has been serving customers across the specialty alumina value chain for the past 48 years.
Hindalco had described the proposed acquisition as a strategic investment aimed at scaling its high-value, technology-led value-added products portfolio in specialty alumina.
Specialty alumina strategy continues
Hindalco said its broader strategy of expanding its specialty alumina business remains unchanged despite the termination of the agreement.
The company will continue to evaluate opportunities, including in the United States, that are aligned with its strategy of scaling high-value, technology-led value-added products.
AluChem to function independently
AluChem will continue to independently serve its customers across the specialty alumina value chain.
The termination does not alter AluChem’s ongoing business operations, with the company continuing to operate independently following the decision.