The company said that the MoU envisages to recognize the potential of adding value to the business of both GACL and Vedanta Aluminium by adopting a collaborative approach based on their complimentary skills, strengths, and common business interests to achieve synergy. Accordingly, both the companies desire to explore the opportunities for co-operation in greater detail so that the resources could be pooled together in a mutually beneficial manner, it added.

With this MoU, both companies have, in-principle, agreed to jointly explore the business opportunities either in the form of joint venture project or through contractual arrangements of mutual interest, the company stated in the press release.

Vedanta, a subsidiary of Vedanta Resources, is one of the world’s leading natural resources companies spanning across India, South Africa, Namibia, Liberia, UAE, Korea, Taiwan and Japan with significant operations in oil & gas, zinc, lead, silver, copper, iron ore, steel, nickel, aluminium, power & glass substrate and foraying into semiconductors and display glass.

Gujarat Alkalies & Chemicals is a multi-product chemical manufacturing company, having various products in its basket and is one of the leading manufacturers of caustic soda lye.

Shares of Gujarat Alkalies & Chemicals rose 1.20% to Rs 821.25 while those of Vedanta added 0.60% to Rs 258.75 on the BSE.