The Indian Aluminium Company Ltd vice-chairman A K Agarwal on Wednesday ruled out the merger of the company with its parent Hindalco Industries Ltd.
"There is no plan for the merger right now. The two companies have many similarities, but presently we see a number of advantages in keeping them separate," Agarwal told reporters after the company's annual general meeting in Kolkata.
Asked whether he saw any possibility of a merger in the future, he said, "I can't say anything about the future...We will, however, continue to bring in more synergies between the two companies."
To a query on whether the group was looking for an acquisition in the country, Agarwal replied in the negative.
"Except Nalco, there is no opportunity for acquisition within the country," he said.
Hindalco, along with its subsidiary Renukeshwar Investments & Finance Ltd, had acquired Indal's about 74.6 per cent equity stake for over Rs 1,000 crore (Rs 10 billion) and had consequently made an open offer that saw the former's stake rising to 94.91 per cent as on November 2002 and further to 95.53 per cent.
In terms of the takeover code, Hindalco has made a final exit offer to the remaining shareholders. The offer, which opened in February 2003, would be kept open till August 2003.
Subsequently, Hindalco was expected to approach Indal for applying to the stock exchanges for the delisting of its shares, Agarwal said.
