New Delhi: Indian billionaire Anil Agarwal is considering a potential merger of his commodity empire’s indebted holding company with cash-rich listed unit Vedanta Ltd., people familiar with the matter said.
The tycoon has held preliminary discussions with prospective advisers about the idea of combining his closely-held Vedanta Resources Ltd. with Mumbai-traded Vedanta Ltd., the people said, asking not to be identified discussing confidential information.
The potential deal follows a global commodities boom that’s fueled a rally in Vedanta Ltd. shares and almost doubled its market capitalization in the past year to about $17 billion. Deliberations are still at an early stage, and there’s no certainty Agarwal will decide to pursue a transaction, the people said.
Agarwal didn’t immediately respond to a request for comment. A representative for Vedanta said there is “no plan” to merge Vedanta Resources with Vedanta Ltd.
Comments are closed.