Nalco, MIDHANI form JV to set up high-end aluminium alloy plant

State-owned Nalco has entered into a pact with Mishra Dhatu Nigam Ltd (MIDHANI) to incorporate a joint venture to set up high-end aluminium alloy plant.

The board of the joint venture will have a maximum of 12 board members with both the companies nominating minimum two directors each to the board, National Aluminium Co Ltd (Nalco) said in a filing to the BSE on Thursday.

"We would like to inform you that a joint venture agreement was signed on August 7, 2019 with Mishra Dhatu Nigam Ltd (MIDHANI) to incorporate a joint venture company (JVC) with an objective for setting up of high-end aluminium alloys plant for manufacturing of plates, sheets," it said.

Nalco and MIDHANI will initially subscribe for shares in the JVC in equal proportion, that is 50 per cent each.

"JVC may agree to induct a technology partner/technology associate/technology provider with shareholding up to a maximum of 10 per cent of the total paid up equity in the JVC during incorporation or else may dilute up to 10 per cent of the total paid up equity (in equal proportion) to them," the filing said.