Vedanta’s overseas subsidiary -- Cairn India Holdings (CIHL) and Volcan Investments have agreed to unwind entirely the structured investment entered between them in December 2018 ahead of the originally envisaged schedule.
With this, Volcan will exercise the early exchange option available to it on July 26, 2019 and consequent to this the full exchange of its two issues of mandatory exchangeable bonds secured by shares in Anglo American plc., will settle on August 12, 2019.
The investment by CIHL, which was entered into as part of its cash management activities, has delivered a net gain of over $100 million in the 8 month period it was held. The cash proceeds from the settlement of the transaction will be paid to CIHL on August 13, 2019.
Vedanta is a diversified natural resources company, whose business primarily involves producing oil and gas, zinc- lead-silver, copper, iron ore, aluminium and commercial power.
