Novelis Inc., the world leader in aluminium rolling and recycling, announced on April 14 that it completed the acquisition of Aleris Corporation, a global supplier of rolled aluminium products. Thus, Novelis is now better positioned to meet customers’ demand for aluminium, with a wider product portfolio, skilled and diverse workforce, and higher commitment towards safety, sustainability, quality, and partnership.
In regards to the acquisition, Kumar Mangalam Birla, Chairman Aditya Birla Group and Novelis Inc., said: "The Aleris deal marks a major milestone for Novelis, on its path to global leadership. The closure of this deal amidst challenging market conditions, reflects our conviction in the Aleris business and its value to our metals portfolio. Periods of turmoil have historically seen the emergence of champions, powered by quality leadership and sound business fundamentals. This is a long- term strategic bet, much like Novelis was in 2007.”
He believes the Aleris deal will enable the company to further diversify its metal portfolio into other premium market segments, especially aerospace.
With the addition of Aleris’ operational assets and workforce, Novelis is expected to serve the growing Asia market with more efficiency by integrating complementary assets in the region including recycling, casting, rolling, and finishing capabilities. The company said it would continue to introduce innovative products to the market and strengthen its research and development further to shape a sustainable world.
Steve Fisher, President and CEO, Novelis Inc., said: "Today is a transformational moment in our company's history, and I've never been more confident in our ability to deliver even more value to our customers, colleagues and the communities where we live and work."
The acquisition is expected to generate approximately $150 million in synergies and create a strong financial profile.
Responses
