Novelis Secures $750 Million in Bond Sale at 6.88% Interest

10 Jan 2025 CW Team

The US headquartered aluminium maker expects to close the bond placement on January 13. The bonds will be guaranteed by Novelis and certain subsidiaries of the company, the Aditya Birla owned company said in a stock market notice.

The private placement to non-US investors means that the bonds are exempt from any US Securities act, the company said.

Atlanta based Novelis supplies aluminium products to customers in the aerospace, automotive, beverage packaging and specialties industries throughout North America, Europe, Asia and South America. It had net sales of $16.2 billion in fiscal year 2024.

Earlier, Novelis said it expects its third quarter Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) on an adjusted basis to be between $360 million to $370 million, lower than the $454 million it had reported during the same quarter last year. The company is expected to report EBITDA per tonne between $400 to $407, which is also lower than the $499 figure it reported last year. Hindalco’s wholly-owned subsidiary had posted an 18% year-on-year drop in its net income in the second quarter ended September 2025 to $128 million. after the company’s wholly-owned subsidiary Novelis posted an 18% YoY drop in its net income attributable to the shareholders. Novelis also withdrew its short-term earnings before interest tax depreciation and amortisation (EBITDA) per tonne guidance of $525 due to the suspension of guidance to tight scrap spreads due to accelerated scrap purchases by China after Asia’s largest economy accelerated its aluminium scrap purchase, which led to a sharp increase in prices after liberating its policies.

Novelis' EBITDA per tonne stood at $498 in the quarter ended September 2024, down from $519 during the same quarter last year and $525 in the June quarter.

Novelis Inc, the overseas arm of the Aditya Birla Group's Hindalco Industries has raised $750 million (about Rs 64.50 billion) by selling five-year bonds through a private placement outside of the US at 6.88%. Novelis intends to use the net proceeds from the offering to repay $738 million (about Rs 63.46 billion) of outstanding borrowings under its revolving credit facility and to use any remaining net proceeds to fund cash on its balance sheet for general corporate purposes, the company said. The US headquartered aluminium maker expects to close the bond placement on January 13. The bonds will be guaranteed by Novelis and certain subsidiaries of the company, the Aditya Birla owned company said in a stock market notice. The private placement to non-US investors means that the bonds are exempt from any US Securities act, the company said. Atlanta based Novelis supplies aluminium products to customers in the aerospace, automotive, beverage packaging and specialties industries throughout North America, Europe, Asia and South America. It had net sales of $16.2 billion in fiscal year 2024. Earlier, Novelis said it expects its third quarter Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) on an adjusted basis to be between $360 million to $370 million, lower than the $454 million it had reported during the same quarter last year. The company is expected to report EBITDA per tonne between $400 to $407, which is also lower than the $499 figure it reported last year. Hindalco’s wholly-owned subsidiary had posted an 18% year-on-year drop in its net income in the second quarter ended September 2025 to $128 million. after the company’s wholly-owned subsidiary Novelis posted an 18% YoY drop in its net income attributable to the shareholders. Novelis also withdrew its short-term earnings before interest tax depreciation and amortisation (EBITDA) per tonne guidance of $525 due to the suspension of guidance to tight scrap spreads due to accelerated scrap purchases by China after Asia’s largest economy accelerated its aluminium scrap purchase, which led to a sharp increase in prices after liberating its policies. Novelis' EBITDA per tonne stood at $498 in the quarter ended September 2024, down from $519 during the same quarter last year and $525 in the June quarter.

Resources

03 Jun 2026

Farid Khan Becomes CMD, Kamal Bajaj Takes Charge as CEO

profine India Window Technology, a subsidiary of Germany-based profine GmbH and manufacturer of Koemmerling uPVC and aluminium window and door systems, has announced a leadership transition effective 1 June 2026. Farid Khan, who has led profine India as Chief Executive Officer since its inception, has been elevated to the role of Chairman cum Managing Director (CMD). In his new position, Khan will focus on the company's long-term strategic direction, governance and international expansion across South Asia, the Middle East and other non-EU markets. He will continue his responsibilities as Man..

Infrastructure Urban

02 Jun 2026

VECV Sales Rise 7.8 Per Cent In May 2026

VE Commercial Vehicles recorded sales of 7,978 units in May 2026, compared to 7,401 units in May 2025, registering growth of 7.8 per cent. This included 7,789 units from the Eicher brand and 189 units from the Volvo brand.Eicher branded trucks and buses reported sales of 7,789 units during the month, up 7.3 per cent from 7,258 units a year earlier. In the domestic commercial vehicle market, Eicher sales rose 9.1 per cent to 7,375 units from 6,758 units in May 2025.Exports declined 17.2 per cent to 414 units from 500 units in the corresponding month last year. Volvo Trucks and Volvo Buses recor..

Infrastructure Urban

02 Jun 2026

Table Space Strengthens DESYN Leadership Team

Table Space has announced strategic leadership appointments within DESYN, its integrated Design and Build business, as it looks to strengthen operations across key enterprise and GCC markets in India. DESYN was launched as a strategic extension of Table Space’s workspace solutions portfolio to meet rising demand for agile, high-quality and rapidly deployable enterprise workspaces.Shruti Ookabhoy has joined DESYN as Executive Director and will lead the Design vertical, focusing on design capability, operational excellence and team development across markets. She brings over 22 years of experi..