Vedanta to proceed with dollar bond sale in first post-Adani India credit test

Vedanta launches $500 million bond issue post-Adani crisis, with Citigroup, JPMorgan, Deutsche Bank declining to comment.

Vedanta Resources, which postponed a planned sale of dollar bonds last week after the Adani group’s top officials were indicted by U.S. prosecutors, will now launch the issue on Monday (November 25, 2024), according to two sources.

The issue, which could raise as much as $500 million, is the first since the Adani crisis and will test global appetite for Indian high yield credit following the allegations against Adani.

Adani Group, led by billionaire Gautam Adani, has said the allegations made by the U.S. authorities are “baseless”.

“Since the Adani crisis has not blown out of proportion after the initial fears, the company deemed fit to go ahead with the issue,” a banker with knowledge of the Vedanta sale told Reuters.

A second source familiar with the company’s plans confirmed the sale would be going ahead.

The sources declined to be identified because they were not authorised to speak to the media.

Vedanta, which has interests ranging from oil and gas to mining and metals and is headquartered in the U.K., did not immediately respond to a request for comment.