Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, will acquire 100 per cent of EMIL Mines and Mineral Resources Ltd. (EMMRL), which holds the mining lease for the Bandha coal block in Madhya Pradesh.
The transaction is valued at ₹48 lakh, and Hindalco will assume ₹1,131 crore in debt. The acquisition aims to secure long-term coal supply for Hindalco’s aluminium smelting operations.
Strategic acquisition for coal security
The Bandha coal block has an estimated 197 million tonnes of mineable coal, with a 45-year life span. Located just 20 km from Hindalco’s Mahan power plant, the site allows for efficient transport via rail, road, or conveyor.
EMMRL is currently a subsidiary of Essel Mining and Industries Ltd. The acquisition is classified as a related-party transaction, but Hindalco has stated it will follow fair pricing norms.
The deal was approved by Hindalco’s board on May 20 and is expected to close within 6–9 months, pending regulatory approvals. EMMRL has had no turnover since 2020.
Hindalco also delivered 10,000 aluminium battery enclosures to Mahindra in FY25, bolstering its position in the EV value chain.
As of March 31, 2025, the company’s net debt-to-EBITDA ratio improved to 1.06x, down from 1.21x last year, signalling stronger financial stability.
