The company has annual sales of US$ 15 billion and employs around 20,000 people. It is listed in the Forbes Global 2000 at 895th rank. Its market capitalisation by the end of May 2013 was US$ 3.4 billion. Hindalco is one of the world's largest aluminium rolling companies and one of the biggest producers of primary aluminium in Asia.
The Hindustan Aluminum Corporation Limited was established in 1958 by the Aditya Birla Group. In 1962 the company began production in Renukoot in Uttar Pradesh making 20 thousand metric tons per year of aluminium metal and 40 thousand metric tons per year of alumina. In 1989 the company was restructured and renamed Hindalco.
On 11 February 2007, the company entered into an agreement to acquire the Canadian company Novelis for US$6 billion, making the combined entity the world's largest rolled-aluminium producer. At 2007 Novelis was the world's largest producer of rolled aluminium and a major recycler of aluminium cans. On 15 May 2007, the acquisition was completed with Novelis shareholders receiving $44.93 per outstanding share of common stock.
Hindalco, through its wholly owned subsidiary AV Metals Inc., acquired 75,415,536 common shares of Novelis, representing 100 percent of the issued and outstanding common shares. Immediately after closing, AV Metals Inc. transferred the common shares of Novelis to its wholly owned subsidiary AV Aluminum Inc.
When Hindalco made this bid in 2007 this became the largest Indian investment in North America and the second-largest overseas investment by an Indian company (behind Tata Steel Europe's purchase of Corus two weeks earlier) to this time.
The day after Hindalco announced the acquisition its stock fell by 13% resulting in a US$600 million drop in market capitalisation. Shareholders criticised the deal but K.M. Birla responded that he had offered a fair price for the company and stated, "When you are acquiring a world leader you will have to pay a premium."
Other acquisitions and takeovers
In June 2000, acquisition of controlling stake in Indian Aluminium Company Limited (Indal) with 74.6 per cent equity holding.
In July 2007, Hindalco announced it is acquiring the stake of Alcan Inc.'s in the Utkal Alumina Project located in Orissa.