Vedanta to divest Zinc International assets for $2,981 million to Hindustan Zinc

20 Jan 2023 , 10:13 AM

Vedanta announced on Thursday that it will sell Zinc International assets to Hindustan Zinc for a cash consideration of $2,981 million.

The sale of Zinc International assets held by THL Zinc Ventures Ltd (Mauritius) (THLZV), a direct wholly-owned subsidiary of the metals and mining major, was approved by Vedanta’s board of directors.

THLZV’s assets, which include shares in Black Mountain Mining Pty Ltd in South Africa (69.6%) and THL Zinc Namibia Holdings (Pty) Ltd in Namibia (100%), will be sold to the proposed wholly-owned subsidiary (SPV) of Hindustan Zinc Ltd (HZL) for a cash consideration not exceeding $2,981 million, Vedanta said in a filing.

Vedanta owns 64.92% of HZL’s equity share capital. The proposed transaction will be subject to regulatory approvals.

The transaction is expected to be completed in stages over the course of 18 months, subject to timely regulatory approvals.

At around 10.10 AM, Vedanta was trading 0.85% higher at Rs333.60, against the previous close of Rs330.80 on NSE. So far, the counter hit an intraday high and low of Rs340.75 and Rs331.40 respectively.

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