Based on a report, Anil Agarwal's commodities firm Vedanta Ltd is in talks with US-based Farallon Capital Management to raise at least $1 billion. The fund-raising structure has not yet been finalized, and discussions are ongoing, according to sources.
If the proposal is approved, it will reduce the need for a syndicated loan, according to the report.
Vedanta topped the list of Indian stocks with the highest dividend yield last year. According to the report, the company has been relying on dividends from the Mumbai-listed company to repay debts of its London vehicle, which has been experiencing cash flow issues.
For a syndicated dollar-denominated loan, the company has held discussions with banks such as Barclays Plc, JPMorgan Chase & Co, and Standard Chartered Plc.
On March 28, the board declared the payment of the fifth interim dividend for FY23, a dividend of Rs 20.50 per share, for a total of Rs 7,621 crore.
Following this announcement, CRISIL revised the company's term loan and debenture outlook from "stable" to "negative."