Shares of mining-based company Vedanta closed nearly 8.5 percent lower, a day after the company said it will undertake a comprehensive review of the corporate structure.
On the Bombay Stock Exchange (BSE), the company’s shares fell as much as 10.65 percent to an intraday low of Rs 302.35 apiece. It, however, finished the day 8.51 percent lower at Rs 309.60. On the National Stock Exchange (NSE), Vedanta’s shares tanked to Rs 290.30 apiece intraday, down 14.16 percent. It closed the day 8.49 percent lower at Rs 309.50.
“We think the model being evaluated will provide natural avenues for growth as well as enhance shareholder value,” he said.
“This is the global model and if you look at even Indian industry you will find that Hindalco is a separate company and so is Tata Steel. And we can do the same,” he said.
Agarwal said Vedanta’s board has constituted a committee of directors to evaluate and recommend options to restructure the group.
The restructuring would also tailor the capital structure and capital allocation policies based on business-specific dynamics, create distinct investment profiles to attract deeper and broader investor bases; and accelerate emissions reduction and strong ESG practices. Agarwal said the Board has appointed various advisors to assist in evaluating the options.
-With PTI inputs
(Edited by : Anshul)
First Published: IST