NEW DELHI: Anil Agarwal-led Vedanta Resources Limited, the parent company of Vedanta Limited, on Monday said that it has reduced its gross debt by a further $1 billion. The company has paid all its maturing loans and bonds due in April 2023.
“Vedanta has now reduced its debt by $3 billion since it announced in February 2022 its intention to accelerate deleveraging and reduce its debt by $4 billion within three years. Vedanta has thereby achieved 75 per cent of its committed reduction in just 14 months,” said the Anil Agarwal-led company in an exchange filing on Monday.
The Group’s gross debt stands at $6.8 billion as of Monday, down from $7.8 billion at the end of March 2023 (as announced on February 15) and down from $9.7 billion at the end of March 2022.
“During the balance of the financial year 2023-24, we believe that strong operational performance from our world-class asset base coupled with robust commodity prices will lead to further deleveraging,” said the company.
In March 2023, the rating agency Moody’s downgraded Vedanta’s London-based parent, warning that ongoing debt-related issues expose Vedanta Resources “to material refinancing risks and exacerbate the likelihood of a payment default or a distressed exchange.”
At one of the events, Vedanta Chairman Anil Agarwal said that there has not been defaults on debts from the group.
Group’s debt down from $7.8 billion to $6.8 billion
The company has paid all its maturing loans and bonds due in April 2023. The Group’s gross debt stands at $6.8 bn as of Monday, down from $7.8 bn at the end of Mar 2023 (as announced on Feb 15) and down from $9.7 billion at the end of Mar 2022