Vedanta intends to use credit funds to raise up to $1 billion
ECONOMY & POLICY

Vedanta intends to use credit funds to raise up to $1 billion

According to people familiar with the matter, Anil Agarwal's Vedanta Group has turned to credit funds such as Farallon Capital, Davidson Kempner, and Ares SSG Capital to borrow more than $1 billion to meet upcoming repayments. This move comes as banks are tightening credit for the mines and minerals giant, which has been negotiating with global lenders such as JP Morgan, Barclays, Standard Chartered Bank, and Deutsche Bank to lower their asking rate for a $1 billion loan.

The loan was expected to be raised at the secured overnight financing rate (SOFR) plus 500 basis points, but the lenders have given a term sheet at SOFR plus 800 basis points for the 3-3.5-year loan. Vedanta is exploring ways to raise funds to meet upcoming maturities after the government opposed the Hindustan Zinc (HZL) board's move to buy THL Zinc Ventures in a $2.98 billion cash deal.

Vedanta Resources Limited (VRL) is also in talks with private funds to raise $750 million to $1 billion to refinance the facility. VRL has large repayments in the next quarter, including US dollar bonds of $400 million in April and $500 million in May, along with another $1 billion bond maturing in January 2024, $1.1 billion term debt, $600 million interest payments, and $450 million inter-company loans.

Your next big infra connection is waiting at RAHSTA 2025 – Asia’s Biggest Roads & Highways Expo, Jio World Convention Centre, Mumbai. Don’t miss out!

According to people familiar with the matter, Anil Agarwal's Vedanta Group has turned to credit funds such as Farallon Capital, Davidson Kempner, and Ares SSG Capital to borrow more than $1 billion to meet upcoming repayments. This move comes as banks are tightening credit for the mines and minerals giant, which has been negotiating with global lenders such as JP Morgan, Barclays, Standard Chartered Bank, and Deutsche Bank to lower their asking rate for a $1 billion loan. The loan was expected to be raised at the secured overnight financing rate (SOFR) plus 500 basis points, but the lenders have given a term sheet at SOFR plus 800 basis points for the 3-3.5-year loan. Vedanta is exploring ways to raise funds to meet upcoming maturities after the government opposed the Hindustan Zinc (HZL) board's move to buy THL Zinc Ventures in a $2.98 billion cash deal. Vedanta Resources Limited (VRL) is also in talks with private funds to raise $750 million to $1 billion to refinance the facility. VRL has large repayments in the next quarter, including US dollar bonds of $400 million in April and $500 million in May, along with another $1 billion bond maturing in January 2024, $1.1 billion term debt, $600 million interest payments, and $450 million inter-company loans.

Next Story
Real Estate

Vitizen Hotels Signs Deal at Manyata Tech Park

Vikram Kamats Hospitality, as part of its ongoing expansion in key metropolitan markets, announced that its material subsidiary, Vitizen Hotels, has signed a long-term lease agreement for a 45-key hotel property at Manyata Tech Park, Bengaluru.Strategically located in the city’s prominent IT hub, the property is well-positioned to serve corporate travelers, business professionals, and long-stay guests. The addition aligns with the company’s asset-light growth model, leveraging long-term leases to expand its footprint in high-demand urban markets.The hotel is expected to strengthen the comp..

Next Story
Infrastructure Transport

CONCOR Signs MoU with BPIPL to Operate Container Terminal at Bhavnagar Port

Container Corporation of India (CONCOR) has signed a Memorandum of Understanding (MoU) with Bhavnagar Port Infrastructure (BPIPL) on September 4, 2025, in New Delhi to operate and maintain the upcoming container terminal at the northside of Bhavnagar Port, Gujarat.BPIPL had earlier entered into an agreement with the Gujarat Maritime Board (GMB) in September 2024 for the port’s development. Under this arrangement, 235 hectares of land has been leased to BPIPL for 30 years, with provision for expansion by an additional 250 hectares.The new terminal is expected to significantly enhance logistic..

Next Story
Infrastructure Transport

Concord Launches India’s First Indigenous Zero-Emission Rail Propulsion

Concord Control Systems (CCSL), a leader in embedded electronics and critical rail technologies, has announced the development of India’s first fully indigenous zero-emission propulsion system, marking a significant step toward the country’s railway electrification and net-zero goals for 2030.Powered by Lithium Iron Phosphate (LFP) batteries and featuring a DC chopper-based drive, the propulsion system eliminates idling losses common in diesel engines, offering higher efficiency, lower costs, and zero emissions.What sets this innovation apart is its completely indigenous design. Except for..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?