Future Of British Business

Vedanta to Pay $907 Million Dividend in Boost to London Parent

  • To pay 19.5 rupees per share to shareholders of commodity firm
  • Indian firm 70% controlled by parent, Vedanta Resources

An employees closes the door of a electrolytic cell in the reduction unit of the Vedanta Ltd. Aluminium Smelter in Jharuguda district, Odisha, India.

Photographer: Dhiraj Singh/Bloomberg
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Vedanta Ltd. will pay a dividend of 72.5 billion rupees ($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 19.5 rupees 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.