Vedanta eyes US relisting as it targets $100B India expansion
What's the story
Anil Agarwal, the metals magnate, has announced plans to relist his holding company Vedanta Resources, possibly in the US. The move comes as part of a larger strategy to invest $100 billion in India's metals and minerals sector over the coming years. The decision is also part of Agarwal's plan to split his commodities conglomerate into five separate listed firms.
Investment strategy
US is an option for Vedanta's relisting
Agarwal, in an interview, said he envisions bringing $100 billion into India. He credited the company's growth to its listing in London and hinted at the US as a potential destination for Vedanta Resources's relisting. The company was delisted from the London Stock Exchange in 2018. "We have grown today only because of our listing in London... US is an option," Agarwal said.
Regulatory changes
Agarwal urges Indian government to adopt self-certification systems
Agarwal also urged the Indian government to make business easier by adopting self-certification systems like those in Canada, Australia, and America. He said strict penalties for non-compliance could ensure faster execution of projects. "The government really wants us to be self-sufficient," he said while stressing the need for regulatory changes to facilitate business operations in India.
Business expansion
Oil and gas could be Vedanta's biggest revenue generator
Agarwal also highlighted the potential growth areas for Vedanta, particularly in its hydrocarbons division. He said this could become the company's biggest revenue generator as the government makes exploration more friendly and viable. "Oil and gas, I have a feeling, will be one of the largest businesses for us," Agarwal said while noting that they have both offshore and onshore gas reserves.