https://www.miningweekly.com
Aluminium|Business|Financial|Gas|Power|Resources|Steel
Aluminium|Business|Financial|Gas|Power|Resources|Steel
aluminium|business|financial|gas|power|resources|steel

Vedanta to spin off, list six businesses to fuel growth

Vedanta chairperson Anil Agarwal

Vedanta chairperson Anil Agarwal

Photo by Donna Slater

29th September 2023

By: Reuters

  

Font size: - +

BENGALURU - India's Vedanta said on Friday it plans to spin off and list six of its businesses as the metals-to-oils conglomerate seeks to fuel their growth.

The six units being planned to be listed are Vedanta Aluminium, Vedanta Oil & Gas, Vedanta Power, Vedanta Steel and Ferrous Materials, Vedanta Base Metals and Vedanta Limited.

The demerger plans, aimed at driving better valuations, come as Vedanta Resources, the UK-based parent of the company, struggles to raise funds due to rating downgrades and concerns over meeting its debt obligations.

"By demerging our business units, we believe that will unlock value and potential for faster growth in each vertical," chairman Anil Agarwal said in a statement.

For each share of Vedanta, the stockholders will receive one additional share of each of the five companies that will be listed.

The entire restructuring process is expected to be completed by financial year 2025, subject to approvals. Filing with stock exchanges for approval from the country's markets regulator is expected during October 2023, Vedanta said.

Early in the day, Vedanta's unit Hindustan Zinc said it plans to create separate entities for its zinc, lead, silver and recycling businesses to unlock "potential value" and will appoint external advisors to review its corporate structure.

This year, Agarwal had sought to trim down the group's debt by getting Hindustan Zinc, a unit of Vedanta, to buy some of the parent group's zinc assets in a $2.98 billion deal.

However, the Indian government, which owns nearly 30% stake in Hindustan Zinc, opposed the move.

Edited by Creamer Media Reporter

Comments

Showroom

AutoX
AutoX

We are dedicated to business excellence and innovation.

VISIT SHOWROOM 
Actom image
Actom

Your one-stop global energy-solution partner

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Mining Weekly Editor Martin Creamer
Copper shares soar and green hydrogen goes digital
26th April 2024
Magazine cover image
Magazine round up | 26 April 2024
26th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.161 0.198s - 107pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: