Vedanta Resources' debt rejig plan gets bondholder nod
Vedanta Resources (VRL) have voted in favour of a proposed restructuring of the debt instruments that were due to mature starting later this month, helping metals maven Anil Agarwal stick to financial commitments ahead of a series of planned multiple listings for his operational companies in India in an ambitious value-unlocking exercise.
People familiar with the matter told ET that the approval is more than 97% for bonds maturing in 2024, 2025, and 2026. The company had to immediately repay $1 billion debt on January 21.
It had offered an additional early consent fee for those agreeing to the restructuring, sweetening the proposal for investors.
Vedanta Resources received a strong approval from bondholders for the restructuring proposal of four series of bonds. The consensus ranged from 97% to nearly 100% across the four series. The company announced the outcome on the Singapore Exchange, where the bonds for the London-listed VRL are listed.
For the bonds maturing this month, with a total principal amount of $761 million, 97.78% voted in favour.
Similarly, for the bonds maturing in August 2024, of the $946 million, a total of 98.69% voted in favour.
For the 2025 Bonds, with a total principal amount of $1.14 billion, 99.66% voted in favour. Lastly, for the 2026 bonds, out of a total principal amount of $486 million, 99.12% voted in favour.
