On Thursday, Vedanta shares closed at Rs 279.75, on the National Stock Exchange, 0.64 per cent lower than the previous close. Meanwhile, Hindustan Zinc shares rose 0.79 per cent to Rs 327 apiece.
New Delhi: In order to raise Rs 1,500 crore in loans against those shares at more than 50 per cent margin to their market value, billionaire Anil Agarwal-led Vedanta Resources has encumbered a part of its stake in Hindustan Zinc (HZL), the company told the exchanges in a mandatory filing Thursday.
The note to the exchanges said that the shares, amounting to 2.44 per cent of HZL’s total share capital, are worth about Rs 3,300 crore.
Axis Trustee Services is acting as the facility agent for the loan and the encumbrance has been created in the favour of financial institution. The note added that the capital borrowed will be used for “general business purposes, including repayment of existing debt, capital expenditures and operating expenses.”
On Thursday, Vedanta shares closed at Rs 279.75, on the National Stock Exchange, 0.64 per cent lower than the previous close. Meanwhile, Hindustan Zinc shares rose 0.79 per cent to Rs 327 apiece.
After Vedanta’s latest move, 91.35 per cent of the promoter stake in HZL has now been encumbered across four different encumbrance transactions, as per the latest data. Meanwhile, the entire promoter holding in Vedanta has been encumbered.
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