Vedanta promoter buys back shares worth ₹2,959 crore via bulk deal

Our Bureau Mumbai | Updated on December 24, 2020

The promoter company of Vedanta on Thursday acquired 11.85 crore shares worth ₹1,782 crore through bulk deal on the BSE at an average price of ₹159.96 and 7.35 crore shares worth ₹1,177 crore at ₹159.91 a share on the NSE, making the total deals size ₹2,959 crore.

Billionaire Anil Agarwal-owned Vedanta Holdings Mauritius on Wednesday said that it plans to buy 18.5 crore shares or 4.98 per cent of shareholding at a price between ₹150.45 and ₹160 through bulk deal window on the exchanges.

JP Morgan India acted as the broker to the promoters’ company Vedanta Holdings Mauritius. On Thursday, shares of Vedanta was up 8 per cent to ₹162.65 on the BSE.

Sellers not known

There were three notable large trades in the Vedanta counter on Thursday, though the sellers names were not available immediately. The first bulk deal saw 3.7 crore shares exchange hands at ₹159.7 a piece adding up to a total value of ₹588 crore. In the second trade, 6.5 crore shares exchanged hands at ₹159.15 a piece. The transaction was valued at ₹1,042 crore and in another trade, 3.25 crore shares worth ₹521 crore were transacted at ₹160 apiece.

Delisting failed

In May, the promoters of Vedanta announced a delisting offer at ₹87.5 a share but failed to garner minimum required shares to make the buyback a success.

Interestingly, LIC, which held 6.37 per cent in Vedanta, submitted all its shares at a price of ₹320, a 267 per cent premium over the floor price of ₹87.25 upsetting Vedanta’s calculations.

The total number of shares validly tendered by the public shareholders in the delisting offer was 125.47 crore, which was less than the minimum number of shares required to be accepted by the acquirers in order for the delisting offer to be successful.

Published on December 24, 2020

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