Government opposed to purchase of Vedanta Ltd's international mining assets by Hindustan Zinc

17 Feb 2023 , 07:40 AM

According to Hindustan Zinc CEO Arun Misra, who talked to ET, the business intends to contact the mines ministry to resolve the disagreements about the purchase of holding company Vedanta Ltd.’s international mining assets. 

The government, which has 29.54 % ownership in Hindustan Zinc Ltd (HZL), privatized more than two decades ago, has raised several concerns, including the valuation of the assets.

According to Misra, the meeting is scheduled for soon.

‘Many newspapers are reporting on the opinions of different minority shareholders, which we are reading. I haven’t personally met anyone. I won’t be able to remark until after I’ve met them and fully understand their viewpoint. I won’t be able to remark on other people’s comments that I can’t directly verify ‘said Misra to PTI.

A news report claims that all three of the three government directors on the nine-member HZL board voiced their opposition to the proposal.

Misra continued, ‘We don’t comment on what happened within the board room because board meeting deliberations by law are also solely the output of the board meeting that gets filed.’

Vedanta said last month that it will sell Hindustan Zinc Ltd’s global zinc assets for USD 2,981 million in cash.

Vedanta owns 64.92% stake in HZL.

The transaction will likely be finished in stages over 18 months, provided all necessary regulatory permissions are received in a timely manner.

Lead, silver, and zinc are all produced in-house by Hindustan Zinc.

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