Hindalco Industries has scrapped its proposed $125 million (about ₹1,200 crore) acquisition of US specialty alumina maker AluChem Companies. The development, which comes after the company spent over a year awaiting regulatory clearance, puts an end to a deal whose completion timeline had been repeatedly pushed back amid disruptions to the US foreign-investment review process.
The termination, Hindalco said, does not alter its broader strategy of expanding its high-value, technology-led value-added products (VAP) business in specialty alumina. It will continue to evaluate opportunities, including in the US, in line with that strategy, the company added.
The Aditya Birla Group company had announced the acquisition in June 2025, with an estimated completion period of two to four months. As per the deal, Hindalco had agreed to acquire 100 per cent of AluChem for an enterprise value of $125 million in a cash transaction. The proposed deal was intended to expand the company’s global footprint in specialty alumina and alumina products, particularly in the US. AluChem manufactures specialty calcined and tabular alumina, products used across the specialty alumina value chain.
But the transaction remained pending through 2026 as the Committee on Foreign Investment in the United States’ (CFIUS) review was repeatedly extended. CFIUS examines foreign investments in US businesses for national security reasons.
Hindalco’s review was repeatedly delayed owing to the partial shutdowns of the US federal government, which paused the statutory clock for CFIUS reviews. After the first shutdown ended on November 12, 2025, Hindalco said the 43-day shutdown period will be added to the 105-day review timeline.
A second three-day shutdown added further time. By February 2026, the company said the review remained temporarily halted because of another partial shutdown. Hindalco subsequently extended the expected completion timeline to July 2, 2026, and later said the matter was expected to reach finality by September 2, subject to final clearance.
The transaction, however, remained unresolved into October.
Published on October 2, 2026
