Novelis sells 50% stakes of Ulsan facility to Japan's Kobe Steel at $315 mn

JV will see transaction closure in September 2017

US-based Novelis on Wednesday announced that it has sold off 50 per cent of its stake in South Korea's Ulsan facility to Japan's Kobe Steel for $315 million to form a joint venture with the Japanese producer of aluminium rolled products.

The joint venture, which is to be named Ulsan Aluminum, will have both companies taking responsibility for its metal supply and commercial relationships, Novelis said in a release on Wednesday. The joint venture transaction is expected to close in September, subject to customary closing conditions, the statement added.

Novelis is a wholly-owned subsidiary of Aditya Birla Group's flagship company