Hindalco's
Q1 net profit: Rs.602.9 crore
Hindalco
Industries, the country's largest aluminium producer, reported
a flat net profit of Rs.602.9 crore in the first quarter
of 2007-08 fiscal, compared to Rs.601.5 crore in the corresponding
period a year ago. This performance can be attributed to
lower prices for alumina, which offset the gain from rise
in metal output.
The company, which bought Canada's Novelis in a $6 billion
deal in April, registered a 9 per cent increase in net sales
at Rs.4,677.9 crore in the first quarter, compared to Rs.4,273.7
crore in the corresponding period a year earlier. Other
income grew 61 per cent to Rs.124.6 crore.
Analysts said low realization of alumina and frequent cuts in domestic aluminium prices hit Hindalco's profit. They said aluminium prices, which were stable in recent months (while other metals on record highs), are expected to rise in coming quarters which would have a positive impact on Hindalco's profitability. Hindalco's Chief Financial Officer S. Talukdar said the integration of Novelis had begun but the full benefits of the acquisition would accrue only after 2010.
(Source:
Business Standard 31.07.07)
Birla to up Hinalco stake to deter bidders
Kumar
Mangalam Birla plans to take majority control of Hindalco
Industries to forestall a takeover in what's potentially
a record year for metals and mining mergers.
"I would like our stake to be more than 50% and, if
not, at least 40% in the next two years," Birla said.
His family owns 31.4% of the $5.6 billion company, according
to its website.
(Source:
DNA, 25.07.07)
Hindalco
buys Alcan's 45% in Utkal Alumina
Aditya
Birla group's flagship company Hindalco Industries announced
an agreement to buy out Canadian aluminium major Alcan's
45% stake in Utkal Alumina International (Utkal) for an
undisclosed amount. The Utkal joint venture was established
in 1992 and involves the development of a new bauxite mine
and setting up an alumina refinery in Orissa. The transaction
will be complete in a month, Hindalco Industries has stated.
The transaction marks the complete exit of Alcan, and Hindalco
becomes the 100% owner of the Utkal project. The Aditya
Birla group had initially acquired a 20% stake in Utkal
Alumina when it bought out Indal in 2000. Later, it increased
its stake to 55%.
(Source:
The Financial Express, 19.07.07)
Vedanta
to invest Rs.100 cr in forest conservation
The
Orissa government has asked for Rs.100 crore from Vedanta
Resources for conservation of ecology in the Niyamgir hills.
Out of this amount, Rs.42 crore will be spent on the wildlife
in the area, where the Vedanta group's Sterlite Aluminium
will mine for bauxite.
State steel and mines minister Padmanabha Behera told that
the latest in scientific technology would be used for mining
of bauxite in Niyamgir hills. Only 20 hectares will be allowed
for mining at a time. Steps will be taken to plant 16 lakh
trees under a compensatory afforestation programme.
Under a peripheral developmental project, Rs.12 crore will
be spent for the betterment of the lives of 7000 tribals
living in the surrounding 21 villages.
(Source:
The Financial Express, 04.07.07)
Rebate
end may hit China aluminium export
China's
exports of aluminium products were likely to fall sharply
in the July-September quarter because of the end of some
tax rebates, industry sources said. Up to 130,000 tonnes
of aluminium products destined for export in July might
stay in the domestic market, they added. A drop in exports
of products was likely to dampen primary aluminium prices
in China, but might help to support the world aluminium
market.
(Source:
Business Standard 21.06.07)
