RUSAL Agrees to Buy a Stake in an Indian Alumina Refinery

RUSAL has announced an agreement to acquire a stake in Pioneer Aluminium Industries, the owner of an operating alumina refinery in India. The transaction provides for an initial 26% interest and a possible increase to 50% through three stages.

An agreement for an Indian refinery

The company disclosed the arrangement on 14 March 2025, following the signing of the agreement on 13 March. Its wholly owned purchasing subsidiary entered into the agreement with independent sellers belonging to the Pioneer and KCap groups.

Pioneer Aluminium Industries owns a refinery in Andhra Pradesh with annual capacity of 1.5 million tonnes of metallurgical-grade alumina. Alumina is an intermediate material in aluminium production, obtained through the processing of bauxite before the metal-smelting stage.

Investment and supply arrangements

• The first stage covers a 26% shareholding.
• The announced initial consideration is US$243.75 million, subject to contractual adjustments for net working capital and debt.
• Subsequent stages would increase the interest to as much as 50%, with payment calculated proportionately.

The partners intend to supply bauxite to the refinery and receive alumina in proportion to their ownership interests. The refinery's stated capacity describes the industrial facility as a whole.

Joint-venture structure

Following completion, Pioneer would be accounted for as a joint venture rather than a RUSAL subsidiary. A shareholders' agreement would govern the participants' rights and obligations.

About RUSAL

RUSAL's production activities extend from bauxite extraction and alumina refining to aluminium and downstream products. Its product range includes primary aluminium, alloys, foil and packaging. Aluminium supplied to customers serves transport, construction, electrical and packaging applications.

The company's product catalogue includes extrusion billets, rolling slabs and foundry alloys. These forms support different manufacturing operations, from producing building components to making vehicle parts and packaging materials. Product information is available at https://rusal.ru/en/clients/catalog/.

Company contacts

Company: RUSAL.
Press office: press-center@rusal.ru.
Telephone: +7 495 720-51-70.
Company press centre: https://rusal.ru/en/press-center/.