Reported 4 months ago
Aluminum producer Novelis Inc., a unit of Hindalco Industries Ltd., has delayed its plan to raise up to $945 million in an initial public offering, citing adverse market conditions. The company, which is the world's largest aluminum recycler, did not provide further details on the reasons for halting the sale. The decision to postpone the IPO comes amidst market turbulence in India following Prime Minister Narendra Modi's party losing its majority in parliament, causing a selloff in stocks. Novelis had planned to sell 45 million shares priced between $18 to $21 each, with Hindalco retaining 92.5% ownership post-IPO with a potential market value of $12.6 billion at the top end of the range. Analysts speculate that internal funds might be sufficient for the company's future projects, leading to the IPO delay.
Source: YAHOO