Hindalco and the US-based firm have jointly decided to terminate the equity purchase agreement for the proposed acquisition of AluChem and its speciality calcined and tabular alumina business

Aditya Birla Group's metals arm Hindalco Industries Ltd has called off its proposed $125 million acquisition of US-based AluChem Companies Inc after extended delays in closing the transaction, according to a regulatory filing.

Hindalco and the US-based firm have jointly decided to terminate the equity purchase agreement for the proposed acquisition of AluChem and its speciality calcined and tabular alumina business, the Aditya Birla Group metals flagship said in a late-night filing on BSE on Thursday.

Hindalco Industries, however, maintained that its strategy to expand the speciality alumina business remains intact.

"The proposed acquisition of AluChem Companies, Inc (AlucChem), and its speciality calcined and tabular alumina business, AluChem and the Company, after due consideration, have jointly decided to terminate the Equity Purchase Agreement due to extended closure delays beyond the control of either party," the filing said.

Hindalco said its strategy to expand its speciality alumina business through high-value, technology-led value-added products remains unchanged, and it will continue to explore opportunities, including in the US.

AluChem will continue to independently serve its customers across the speciality alumina value chain, as it has done for the last 48 years, the filing said.

The transaction, announced in June last year, involved the acquisition of AluChem by Aditya Holdings LLC, a step-down wholly-owned subsidiary of Hindalco, for an enterprise value of $125 million. The deal was subject to customary closing conditions and regulatory approvals.

AluChem Companies is a manufacturer of speciality alumina.

Hindalco's alumina business focuses on special alumina and alumina hydrates, which are manufactured in-house.

Hindalco currently operates 500 thousand tonnes of speciality alumina capacity and aims to scale up to 1 million tonnes by FY30.

It is the country's leading producer of speciality alumina, manufacturing more than 120 grades of non-metallurgical speciality alumina.

Its portfolio serves a wide range of industries, including refractories, ceramics, wire and cable, railways, batteries and electronics, water treatment, and bulk chemicals.

Published on October 2, 2026