Vedanta moves up on getting nod to acquire Meenakshi Energy
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Vedanta is currently trading at Rs. 326.25, up by 2.15 points or 0.66% from its previous closing of Rs. 324.10 on the BSE.
The scrip opened at Rs. 323.90 and has touched a high and low of Rs. 327.00 and Rs. 322.00 respectively. So far 90750 shares were traded on the counter.
The BSE group 'A' stock of face value Rs. 1 has touched a 52 week high of Rs. 440.75 on 11-Apr-2022 and a 52 week low of Rs. 206.10 on 01-Jul-2022.
Last one week high and low of the scrip stood at Rs. 327.00 and Rs. 313.55 respectively. The current market cap of the company is Rs. 120474.42 crore.
The promoters holding in the company stood at 69.69%, while Institutions and Non-Institutions held 18.53% and 11.78% respectively.
Vedanta has received approval from Board of Directors to acquire Meenakshi Energy. The company has been declared successful bidder on January 18, 2023 subsequent to which Board of Directors of Vedanta has approved the acquisition. Vedanta currently envisages to operate 1000 MW of Meenakshi Energy as IPP to carter to the needs of the market by entering into short or medium term PPA and by supplying power to merchants. The acquisition shall enhance the Group’s portfolio in power. The said acquisition estimated to be completed in FY2024.
The consideration payable is Rs 1,440 crore. Out of the total consideration Rs 312 crore shall be paid upfront and balance Rs 1,128 crore in the form of secured unlisted non-convertible debentures issued by Meenakshi Energy to the Financial Creditors to be repaid in 5 equal installments over a period of 5 years starting from the end of 2nd year.
Vedanta is a diversified natural resources company, whose business primarily involves producing oil and gas, zinc- lead-silver, copper, iron ore, aluminium and commercial power.
