Skip to content
Search

Latest Stories

Vedanta to be delisted from Indian bourses

Billionaire Anil Agarwal announced a proposal to delist Vedanta from the Indian stock exchanges on May 11. The promoter group Vedanta Resources will buy out the 48.94 per cent non-promoter shares at Rs 87.5 per share, a premium of Rs 9.9 percent over its May 11 market price.

The promoter group holds 50.14 per cent stake in the firm. The Vedanta group has been pursuing a process of corporate simplification for several years, including the merger of Sterlite with Sesa Goa to form Sesa-Sterlite (subsequently renamed Vedanta) in 2012, the merger of Cairn India with Vedanta in 2016, and the delisting of Vedanta Resources (subsequently renamed Vedanta Resources) in 2018, reports said.


The group considers delisting of Vedanta is the next logical step in this simplification process and will provide it with enhanced operational and financial flexibility. The group maintains its strategic priority of attaining leadership in diversified natural resources, underpinned by growth, while maintaining a flexible capital structure.

The delisting offer will provide public shareholders of Vedanta an opportunity to realise immediate and certain value for their shares at a time of elevated market volatility.

The proposed delisting will align the group's capital and operational structures, streamline the process of servicing its financing obligations and significantly improve a range of important credit metrics.

In July 2018, Agarwal had unveiled plans to delist Vedanta Resources from the London Stock Exchange, saying it no longer sees the London listing as necessary to access capital. Later, on October 1, he concluded the deal after a successful buyout of shares.

Vedanta Resources was the first Indian company to list in London in 2003 in a $644 million offering. Agarwal had stated previously that the buyout of the London listing was intended to simplify the company's structure and claimed that the liquid Indian market meant that the need for a separate London listing was no longer critical.

On March 24, Moody’s Investors Service placed the rating of Vedanta’s parent company -- Vedanta Resources -- under review for downgrade, saying the firm remains vulnerable to falling oil and metal prices as well as shrinking demand following the outbreak of novel coronavirus, or COVID-19.

The rapid and widening spread of the coronavirus outbreak, deteriorating global economic outlook, falling oil prices, and declining asset prices are creating a severe and extensive credit shock across many sectors, regions and markets, the agency said. "The combined credit effects of these developments are unprecedented. Exploration and production (E&P), metals and mining are among the sectors most significantly affected by the shock given their sensitivity to consumer demand and sentiment,” it added.

JP Morgan is the financial advisor and Latham & Watkins and Khaitan & Co are acting as legal advisors in connection with the offer.

More For You

Piyush Goyal

Piyush Goyal recalled that in February, Narendra Modi and Donald Trump had instructed their trade ministers to conclude the first phase of the bilateral trade agreement (BTA) by November 2025. (Photo: Getty Images)

Getty Images

Trade talks with US moving forward positively, says Indian minister Goyal

INDIA’s commerce and industry minister Piyush Goyal on Thursday said that negotiations on the proposed trade agreement between India and the United States, which began in March, are progressing in a positive atmosphere and both sides are satisfied with the discussions.

He recalled that in February, Indian prime minister Narendra Modi and US president Donald Trump had instructed their trade ministers to conclude the first phase of the bilateral trade agreement (BTA) by November 2025.

Keep ReadingShow less
Baiju Bhatt

At 40, Bhatt is the only person of Indian origin in this group, which includes figures such as Meta’s Mark Zuckerberg. (Photo: Getty Images)

Baiju Bhatt named among youngest billionaires in US by Forbes

INDIAN-AMERICAN entrepreneur Baiju Bhatt, co-founder of the commission-free trading platform Robinhood, has been named among the 10 youngest billionaires in the United States in the 2025 Forbes 400 list.

At 40, Bhatt is the only person of Indian origin in this group, which includes figures such as Meta’s Mark Zuckerberg. Forbes estimates his net worth at around USD 6–7 billion (£4.4–5.1 billion), primarily from his roughly 6 per cent ownership in Robinhood.

Keep ReadingShow less
UK business district
The Canary Wharf business district including global financial institutions in London. (Photo: Getty Images)
Getty Images

Economy shows no growth in July amid political turbulence

UK's ECONOMY showed no growth in July, according to official data released on Friday, adding to a difficult week for prime minister Keir Starmer’s government.

The Office for National Statistics (ONS) said gross domestic product was flat in July, following a 0.4 per cent rise in June.

Keep ReadingShow less
India’s IT sector

India’s $283 billion IT industry, which contributes more than 7 per cent to the country’s GDP, has for over three decades provided services to major clients including Apple, American Express, Cisco, Citigroup, FedEx and Home Depot.

iStock

India’s IT sector faces uncertainty as US proposes 25 per cent outsourcing tax

INDIA’s IT sector is facing uncertainty as US lawmakers consider a 25 per cent tax on companies using foreign outsourcing services.

Analysts and lawyers said the proposal has led to customers delaying or re-negotiating contracts, raising concerns in India, the world’s largest outsourcing hub.

Keep ReadingShow less
Rachel Reeves

'Our economy isn't broken, but it does feel stuck,' Reeves said, speaking alongside the release of a finance ministry report on business property taxation, known as rates.

Getty Images

Reeves signals possible changes to business property taxes ahead of budget

CHANCELLOR Rachel Reeves said on Thursday she is considering changes to business property taxes to support small firms looking to expand, as part of her plans to boost growth.

Reeves’ comments come ahead of her annual budget on November 26, at a time when concerns about possible tax rises and inflation are weighing on businesses and households.

Keep ReadingShow less