Hindalco Sells Kalwa Land to Birla Estates for ₹595 Crore

16 Jul 2024 , 03:28 PM

Hindalco Industries has agreed to sell a land parcel located in Kalwa, Maharashtra, to Ekamaya Properties Pvt Ltd, a wholly-owned subsidiary of Birla Estates Pvt Ltd, for ₹595 Crore, as announced in a statement on July 15.

At the time of writing on July 16, 2024 at 3:19 pm, shares of Hindalco Industries is currently trading at ₹690 which is a 1.33% dip than the previous close. Hindalco Industries stock has gained a total of 54% in the last one year and 13% since the beginning of the year.

Last year, in July, the company had disclosed that its board of directors had approved the proposed sale of the Kalwa land parcel to Birla Estates Private Ltd.

In a regulatory filing, Hindalco Industries stated, “… The transaction will now proceed with Ekamaya Properties Pvt Ltd, a wholly-owned subsidiary of Birla Estates Pvt Ltd (previously slated with Birla Estates Pvt Ltd).”

The transaction remains contingent upon the finalization of definitive documents, fulfillment of customary closing conditions, and obtaining regulatory approvals, according to the filing.

Birla Estates Private Limited, a wholly owned subsidiary of Century Textiles and Industries Limited, is the real estate arm of the Aditya Birla Group, known for its presence in real estate, textiles, and pulp & paper industries.

Established over 125 years ago, Century Textiles & Industries Limited ventured into real estate through Birla Estates in 2016. Birla Estates has quickly become a preferred brand in the real estate sector, specializing in premium and mid-income residential housing. 

Birla Estates Private Limited develops properties on owned land parcels and through joint ventures, focusing on creating world-class residential, commercial, and mixed-use projects. With a commitment to design efficiency, customer-centricity, sustainability, and execution excellence, Birla Estates aims to rank among India’s top 5 real estate firms.

Hindalco Industries operates extensively across the value chain, encompassing bauxite mining, alumina refining, coal mining, captive power plants, aluminium smelting, downstream rolling, extrusions, and foils.

Together with its subsidiary Novelis, Hindalco Industries leads globally in flat-rolled products and stands as the largest aluminium recycler worldwide.

Hindalco Industries Limited, a subsidiary of the Aditya Birla Group, is headquartered in Mumbai, Maharashtra, India.

The company ranks 661st on the Forbes Global 2000 list for 2023 and closed November 2023 with a market capitalization of US$15.6 billion.

Originally established in 1958 as Hindustan Aluminium Corporation Limited by the Aditya Birla Group, production commenced in Renukoot, Uttar Pradesh, in 1962, with an initial output of 20 thousand metric tons of aluminium per year and 40 thousand metric tons of alumina per year. The company was restructured and rebranded as Hindalco in 1989. Ramdev Singh was the inaugural trade union leader at Hindalco Industries Limited, Renukoot.

Hindalco’s equity shares are listed on the Bombay Stock Exchange (BSE), where it forms part of the BSE SENSEX index, and on the National Stock Exchange of India (NSE), as a constituent of the S&P CNX Nifty. Additionally, its Global Depository Receipts are listed on the Luxembourg Stock Exchange.