Mumbai: Aditya Birla Group flagship Hindalco has completed the acquisition formalities of Novelis, making the American producer of high value rolled aluminium products a subsidiary of the Indian company.

Novelis'' stock has ceased trading on the New York Stock Exchange, and the stocks will be delisted shortly both at the NYSE and the Toronto Stock Exchange.

With the conclusion of the transaction, Hindalco has emerged the world''s largest aluminum rolling company and one of the biggest producers of primary aluminum in Asia, as well as being India''s leading copper producer.

On the back of Tata Steel emerging successful in the bidding war with CSN for Corus Plc, on 30 March 2007, Hindalco announced its decision to acquire Novelis on 10 February in an all-cash transaction, valuing the US_based company for approximately $6.0 billion, including debt. (See: Hindalco agrees to acquire US-based Novelis in $6-billion deal)

Under the terms of the agreement Novelis shareholders, who were offered $44.93 in cash for each outstanding common share of Novelis, approved the transaction by an overwhelming majority (99.8 per cent) at a special meeting on 10 May.

In a statement announcing the decision to acquire the US firm, Kumar Mangalam Birla, chairman, Hindalco, had said, "We look upon the aluminium business as a core business that has enormous growth potential in revenues and earning. Our vision is to be a premium metals major, global in size and reach with a passion for excellence. The acquisition of Novelis is a step in this direction.

"The combination of Hindalco and Novelis establishes an integrated producer with low-cost alumina and aluminum facilities combined with high-end rolling capabilities and a global footprint. The complementary assets and expertise of the team provides a strong platform for growth and success."

Novelis has excellent synergies with Hindalco and opens new global markets for value-added high-end aluminium rolled products and aluminium can recycling. The Novelis acquisition provides it capabilities in technologically sophisticated rolled aluminium products