Novelis files registration statement for proposed IPO

Atlanta-based aluminum rolling and recycling company Novelis Inc. has filed a registration statement on Form F-1 with the U.S. Securities and Exchange Commission (SEC) relating to the proposed initial public offering of its common shares. The company says common shares are expected to be offered by Novelis' sole shareholder, a wholly owned subsidiary of Hindalco Industries Ltd. of Mumbai, India, and Novelis will not receive any proceeds from this sale.

Novelis intends to list its common shares on the New York Stock Exchange under the ticker symbol NVL, though the number of shares to be offered and the price range for the proposed offering have not yet been determined. The company expects to complete the public offering after the SEC completes its review process, subject to market and other conditions, though it can provide no assurance as to whether or when the offering could be completed or the actual size or terms of the offering.

Morgan Stanley, BofA Securities and Citigroup will act as lead book-running managers for the proposed offering with Wells Fargo Securities, Deutsche Bank Securities and BMO Capital Markets acting as additional book-running managers. BNP Paribas, Academy Securities, Credit Agricole CIB, PNC Capital Markets LLC and SMBC Nikko will act as co-managers for the proposed offering.

The proposed offering will be made by means of a prospectus only. Copies of the preliminary prospectus, when available, can be obtained from Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick St,, 2nd Floor, New York, New York 10014. Morgan Stanley also can be contacted by telephone at 866-718-1649 and email at prospectus@morganstanley.com.

BofA Securities can be contacted at NC1-022-02-25, 201 N. Tryon St., Charlotte, North Carolina 28255-0001, Attention: Prospectus Department, or by email at dg.prospectus_requests@bofa.com. Citigroup can be contacted c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by telephone at 800-831-9146.

A registration statement relating to these securities has been filed with the SEC but has not yet become effective. These securities cannot be sold, nor may offers to buy be accepted before the registration statement becomes effective.

Hindalco acquired Novelis in 2007 in an all-cash deal.

Novelis Inc. reported its fourth-quarter and fiscal year 2024 results earlier in May. In the fourth quarter of its fiscal 2024, which ended March 31, Novelis’ net sales were down 7 percent from $4.4 billion in the fourth quarter of its 2023 fiscal year to $4.1 billion, while full-year net sales were down 12 percent from $18.5 billion in 2023 to $16.2 billion in 2024. 

The company’s full-year net income declined 9 percent to $600 million, however, fourth-quarter net income was up 6 percent to $166 million, and adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) were up 38 percent in the three-month period.