Vedanta rises on receiving approval for acquisition of 100% of VFSPL, VDL
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Vedanta is currently trading at Rs. 282.55, up by 1.95 points or 0.69% from its previous closing of Rs. 280.60 on the BSE.
The scrip opened at Rs. 283.00 and has touched a high and low of Rs. 283.00 and Rs. 279.55 respectively. So far 324810 shares were traded on the counter.
The BSE group 'A' stock of face value Rs. 1 has touched a 52 week high of Rs. 340.75 on 20-Jan-2023 and a 52 week low of Rs. 221.05 on 08-Jul-2022.
Last one week high and low of the scrip stood at Rs. 283.65 and Rs. 276.85 respectively. The current market cap of the company is Rs. 104471.88 crore.
The promoters holding in the company stood at 68.11%, while Institutions and Non-Institutions held 18.16% and 13.73% respectively.
Vedanta has received approval for acquisition of 100% of Vedanta Foxconn Semiconductors (VFSPL) and Vedanta Displays (VDL), wholly owned subsidiaries of Twin Star Technologies (TSTL) via share transfer at face value. TSTL is a wholly owned subsidiary of Volcan Investments, the ultimate holding company of Vedanta. The Board of Directors at their meeting held on July 7, 2023, have considered and approved the same.
The company has added semiconductors and display glass manufacturing ventures to its diversified portfolio. This represents a large growth opportunity for India where the semiconductor market stood at $ 24 billion in 2022 and is estimated to reach $ 80 billion by 2026. The display panel market is estimated to be worth $ 7 billion and is expected to grow to $ 15 billion by 2025. Currently, India imports 100% of these requirements. Vedanta’s twin ventures will provide added momentum to the Government’s goal of Atmanirbharta in electronics.
The global semiconductor industry is at an exciting juncture. India is in a sweet spot to capitalize as the world looks to diversify critical supply chains in semiconductors and display fab. In approving these acquisitions, the Board of Vedanta believes Vedanta and its shareholders, as well as India’s economy, can benefit from the tremendous opportunity these shifting global dynamics provides. The acquisition will be effected by way of a share transfer at face value of Twin Star Technologies’ Semiconductor and Display SPVs. TSTL is a wholly owned subsidiary of Volcan Investments, the ultimate holding company of Vedanta.
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.
