Novelis Inc. (wholly owned subsidiary of Hindalco Industries) announced that its indirect wholly-owned subsidiary, Novelis Corporation, has priced an offering of $1.6 billion aggregate principal amount of 4.750% senior notes due 2030 (the Notes).

The Notes were priced at par value and will bear an interest rate of 4.750% per annum. The Notes are being offered in a private offering that is exempt from the registration requirements of the Securities Act of 1933, as amended (the Securities Act). The Notes will beguaranteed, jointly and severally, on a senior unsecured basis, by Novelis, and by certain of Novelis' subsidiaries. Novelis expects to close the offering of the Notes on 16 January 2020, subject to the satisfaction of customary closing conditions.

Novelis intends to use the net proceeds of the offering to
(i) refinance all of Novelis Corporation's 6.25% Senior Notes due 2024 Notes,
(ii) pay a portion of the consideration for the expected acquisition of Aleris Corporation, a Delaware corporation (Aleris) pursuant to a merger agreement signed on 26 July 2018 by and among Novelis, Aleris, Novelis Acquisitions LLC, a Delaware limited liability company and an indirect subsidiary of Novelis and OCM Opportunities ALS Holdings, L.P., a Delaware limited partnership, solely as representative forthe stockholders, the option holders and the RSU holders of Aleris (the Merger) and pay fees and expenses incurred in connection therewith and
(iii) use any remaining proceeds for general corporate purposes.

The consummation of this offering is not contingent on completion of theMerger. If for any reason the Merger is not consummated, Novelis intends to use any remaining proceeds from this offering for general corporate purposes.

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Shares of Hindalco Industries were trading 1.12% higher at Rs 217.3. The stock trades above its 20 days and 50 days simple moving average placed at Rs 204.21 and Rs 196.37 respectively. These levels will act as support zone in near term.

The company in an exchange filing after market hours on Monday said that it has re-started production of Alumina at Muri refinery in Jharkhand. The company on 10 April 2019 informed that operations of Muri refinery were suspended due to spillage in the red mud cake storage area.

The plant had initiated the start-up process after receiving the Consent to Operate from the Jharkhand State Pollution Control Board (JSPCB). The company further clarified that it may not need to import Alumina.

Hindalco Industries is engaged in the production of aluminium and aluminium products, and copper and copper products.

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Hindalco Industries announced that the Muri refinery in Jharkhand has re-started production of Alumina. The Plant had initiated the start-up process after receiving the Consent to Operate from the Jharkhand State Pollution Control Board (JSPCB). Going forward, the Company may not need toimport Alumina.

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Hindalco Industries Ltd gained 1.68% today to trade at Rs 202.65. The S&P BSE Metal index is up 0.93% to quote at 9780.8. The index is up 8.61 % over last one month. Among the other constituents of the index, Tata Steel Ltd increased 1.64% and Steel Authority of India Ltd added 0.88% on the day. The S&P BSE Metal index went down 17.61 % over last one year compared to the 16.2% surge in benchmark SENSEX.

Hindalco Industries Ltd has added 11.16% over last one month compared to 8.61% gain in S&P BSE Metal index and 4.66% rise in the SENSEX. On the BSE, 15688 shares were traded in the counter so far compared with average daily volumes of 4.22 lakh shares in the past one month. The stock hit a record high of Rs 237.7 on 03 Dec 2018. The stock hit a 52-week low of Rs 171.25 on 26 Aug 2019.

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