Vedanta Ltd. will pay a dividend of Rs 7,250 crore ($907 million) to shareholders in a move that will help its debt-heavy parent, which is grappling with soaring bond yields of as much as 40%.
The unit of Anil Agarwal’s metals and oil conglomerate said it will pay Rs 19.5 per share, according to an exchange notice Tuesday. Its controlling shareholder, London-based holding vehicle Vedanta Resources Ltd., owns about 70% of the Indian firm, which is its main asset.
The dividend is key for its parent, which has seen its bonds fall the most in June since the early months of the pandemic in 2020, amid concerns that the risk of an economic recession may put more pressure on commodity prices, and impact the worth of its assets.
