Vedanta ties up ₹8Kcr facility with Union Bank to take over syndicated facility
During 2020 amidst COVID pandemic, Vedanta Limited had tied up a syndicated facility of ₹10,000 crore with SBI as lead bank at a running cost of 10.5 per cent, says Vedanta
PremiumMetal and mining giant Vedanta Ltd today said it has tied up a facility of ₹8,000 crore with Union Bank of India to take over majority of the syndicated facility after discussions with lenders.
Vedanta Limited, in its normal course of business, conducts proactive liability management exercise to achieve optimal capital structure, it said, adding that in this direction, the company continues to explore all options to increase its debt maturity profile and reduce its interest cost.
"During 2020 amidst COVID pandemic, Vedanta Limited had tied up a syndicated facility of ₹10,000 crore with State Bank of India as lead bank at a running cost of 10.5 per cent (Syndicated Facility)," it said.
"After multiple discussions with potential lenders, we tied up a facility of ₹8,000 crore (replacement facility) with Union Bank to take over majority of the Syndicated Facility," Vedanta said in a BSE filing.
The replacement facility was availed on December 28 last year to take over the existing syndicated facility to reduce the overall interest cost of the company in the normal course of business and to align the debt with market benchmarks. Vedanta also said that it is not aware of any information of any unusual trading activity in the company’s equity shares due to this matter.
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