6 Sep 2023 , 02:20 PM
Vedanta Resources is in discussions with Standard Chartered Bank to secure a loan of $1.2 billion to $1.3 billion against brand fee receivables without pre-conditions for restructuring. The parent company of Vedanta Limited requires cash and funds amounting to Rs 1.3 billion in FY24 and $4.3 billion in FY25.
Vedanta aims to refinance its bonds worth $3.8 billion that are set to mature between 2024 and 2026. This refinancing plan seeks extended maturities and manageable loan sizes. Approximately $1 billion of bonds will mature in January next year, followed by a similar amount in August 2024. Additionally, $1.2 billion in bonds matures in March 2025, and another $600 million in April 2026.
Omar Davis, President of strategy at Vedanta Resources, expressed the company’s desire for smaller loan sizes and longer maturity periods as part of the refinancing package. S&P Global Ratings highlighted that Vedanta Resources has debt maturities of about $3 billion until August 2024, which contributed to the agency’s decision to revise Vedanta’s rating outlook to negative in August, citing heightened refinancing risk. S&P estimated a funding gap of up to $2 billion for Vedanta Resources until August 2024.
For feedback and suggestions, write to us at editorial@iifl.com
Related Tags
Invest wise with Expert advice
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
IIFL Securities Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.