Billionaire Anil Agarwal’s Vedanta Resources is marketing a dollar bond in a crucial test of investor appetite for Indian junk debt.
The commodities giant is offering a three-year amortizing note with initial price guidance of around 13.25%, according to a person familiar with the matter.
The fundraising is critical for Vedanta Resources, whose plans to delist its Indian unit Vedanta Ltd. still face hurdles including getting stock exchange approvals. The proceeds of the offering will be used to partially fund the privatization. Any surplus money will go toward a tender offer of Vedanta Resources 2021 dollar bonds or repayment of the securities at maturity, the person familiar said.
