Vedanta’s parent organization -- Vedanta Resources has raised $1.2 billion in a bond offering that saw strong investor interest. The 8.95 percent bonds due for March 2025 will be guaranteed by the company and two wholly-owned indirect subsidiaries of the company, namely Twin Star Holding and Welter Trading. The company will use the proceeds of the bonds for the acquisition of equity shares of the Indian subsidiary as well as servicing existing debt. The company is looking to buy as many as 37.17 crore or 10 per cent of its India unit, at Rs 160 per share. At that price, the total consideration of the deal would be about Rs 5,948 crore ($814 million).
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.