Twinstar to sell 16 crore Vedanta shares via block deals

Twinstar, one of the promoter entity of Anil Agarwal-led Vedanta Ltd. will be selling 16 crore shares of the company via block deals on Thursday, sources with knowledge of the matter told CNBC Awaaz.

Floor price for the transaction, valued at $500 million or Rs 4,130 crore, is said to be at Rs 258.5, which is a 5 percent discount to Wednesday’s closing price.

The sources further said that Vedanta promoters are looking to sell 4.3 percent stake in the company.

Vedanta’s block deal comes just a week ahead of promoter Vedanta Resources’ debt repayment deadline. The promoter entity has a coupon worth $29.1 million due on August 9 this year.

Vedanta Ltd. recently received Rs 1,920 crore as dividend payout from subsidiary Hindustan Zinc, in which it owns 64.92 percent stake.
As of the June quarter, Vedanta Resources held 68.11 percent stake in Vedanta Ltd., most of which is pledged.

Vedanta had earlier declared a dividend of Rs 18.5 in May this year, just a week ahead of a $500 million junk-rated bond repayment deadline of its parent company.

Shares of Vedanta ended over 1.5 percent lower on Wednesday. The stock was also part of CNBC-TV18’s dealing room chatter, where Nimesh Shah reported citing sources that a large block deal was likely to take place in the stock. CNBCTV18