Vedanta Resources closer to consolidation

Vedanta Resources is edging closer to completing its group consolidation following approvals from respective companies, shareholders and regulators.

The FTSE 100 diversified global natural resources major made the announcement for consolidation last February and continues to believe the move will create more value for stakeholders.

In a statement released Wednesday, the company said stakeholders would benefit from simplification of the group structure by facilitating more efficient and flexible allocation of capital and significant synergies.

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Vedanta is now awaiting approval from the High Court of Madras following the completion of hearings.

The company is also in the process of hearings at the High Court of Bombay at Goa with the next scheduled for January 2013.

Once Vedanta receipts receipt of approval from both courts, it will complete the arrangements.

Vedanta produces aluminium, copper, zinc, lead, silver, iron ore, oil and gas and commercial energy. It has a market capitalisation of £2.95bn with operations in India, Zambia, Namibia, South Africa, Ireland, Liberia, Australia and Sri Lanka.

Its share price rose 0.09% to 1,107p at 14:10 Wednesday.

RD