Twin Star Holdings Ltd, one of Vedanta’s promoter entities, is rumored to sell a 4.3% interest in the Indian mining business, aggregating up to 16 crore shares, for Rs 4,136 crore.
Vedanta’s share price fell over 9% on Thursday following a block trade on the exchanges in which about 16.5 lakh equity shares valued at 4,270 crore changed hands.
On the BSE, Vedanta shares fell as high as 8.96% to 247.80 per share. The stock is higher than its 52-week low of 245.85 per share, set on August 4, 2022.
Twin Star Holdings Ltd, one of Vedanta’s parent businesses, is rumored to be selling a 4.3% interest in the Indian mining company for Rs 4,136 crore, aggregating up to 16 crore shares as part of billionaire Anil Agarwal’s plan to decrease debts and transform his Vedanta group into a pure-play green energy and non-metallic business.
According to the terms and conditions of a deal brokered by JP Morgan India Pvt. Ltd., Twin Star Holdings will be selling 160 million shares in Vedanta to institutional investors at a minimum cost of 258.50 each, a 5% discount to Wednesday’s closing price of 272.15 on the National Stock Exchange of India Ltd.
Twin Star Holdings, the company’s biggest promoter, owns 1.72 billion shares, or 46.4% of Vedanta, which is now valued at $1.01 trillion.
The conditions said that “there is a 180-day lock-up on the seller,” and that the share sale might be intended for qualified institutional purchasers.
Vedanta shares have lost 18% so far this year. In one month, the stock has dropped
Vedanta’s share price was trading 6.89% down on the BSE at 253.45 a share at 10:40 a.m.