Reported 4 months ago
Novelis, a U.S-based unit owned by Hindalco Industries, has delayed its initial public offering (IPO) due to weak market conditions, causing shares of the company to drop by as much as 6.5%. The aluminum recycler had aimed for a valuation of up to $12.6 billion in the U.S. IPO, planning to raise $945 million by selling 45 million shares at $18 to $21 each. Analysts believe this postponement will negatively impact Hindalco in the short term, despite its strong performance in the previous quarter. Novelis will reassess the timing of the IPO in the future, with reasons for the delay unclear, while analysts cite commodity price volatility as a challenge for the company.
Source: YAHOO