Birla's takeover bid of Aleris hangs on Chinese firm Zhongwan's offer

Attractiveness of Aleris is because the industry is operating near full capacity while demand continues to grow in auto, aerospace sectors

Aditya Birla group’s takeover bid of aluminium parts maker Aleris depends on the fate of Chinese company’s Zhongwang’s takeover offer for the company. Both Aleris and Zhongwang have announced a merger plan and have extended their talks till this month-end.

A Birla official said the group is keen to make a bid but is waiting till both Zhongwang and Aleris announce a formal decision not to go ahead with the merger proposal announced earlier. 

The takeover bid would cost around $3 billion to either company that also includes the debt. Birla group firm, Hindalco would make the bid via its