Agarwal, of Vedanta, asks a company from U.K.

A separate listing in London is no longer necessary to achieve the goals of the Vedanta group, said Anil Agarwal, chairman of Vedanta Resources, which is about to withdraw its shares from the London Stock Exchange

. good …. however, given the subsequent growth of our underlying business and the maturity of the Indian financial markets, as well as comments from our shareholders and other stakeholders, we concluded that a separate listing in London does not include is more necessary to achieve the strategic objectives of the Vedanta Group, "Mr. Agarwal said in a statement

Vedanta Resources' Independent Board Committee, set up to evaluate the proposal to strike the firm from the London Stock Exchange , and Volcano, the wholly owned holding company of Anil Agarwal's discretionary trust, have indicated that they have given their agreement in principle on the key terms of a public takeover bid. 39 minority shares representing 33.47% of the capital, valuing the company at £ 2.325 billion £ 8.25 per share is a premium of nearly 28% on the closing price of Ve danta Resources Friday. Investors would also receive the dividend of 41 US cents per share for the year ending in March. Volcan currently holds 66.53% of the share capital of Vedanta. Shares of Vedanta Resources had risen 26% in the afternoon on the stock market.

The committee should recommend the offer to independent shareholders. If the move succeeds, Vedanta will file a request to strike its shares from the Exchange and the Financial Conduct Authority's list. The delisting could take place 20 business days after Volcan has received acceptance of its firm offer or has acquired a majority of the shares of independent shareholders.

The committee added that it would recommend the cash offer because of the certainty that it offers and the attractive valuation. The move would also help streamline Vedanta's structure, following other moves of this type, including the merger of various Indian subsidiaries into Vedanta Limited and the merger of Cairn India Limited into Vedanta Limited. "Volcano believes that the time has come to take another important step in simplifying the structure of the Vedanta group by eliminating a dual stock exchange listing which it believes is in the interest of all stakeholders."

The rationale for quotation in London was to access the bulk of equity and debt capital in London, the reason being 'less convincing', given the increased maturity of Indian capital markets, said Vedanta

. In recent months, in London, especially following the death of protesters who fired on police officers in May in Thoothukudi, where is the factory Sterlite Copper Vedanta. The Labor Party of British opposition demanded that the company be removed from the London Stock Exchange to "take off its coat of respectability."

The company has in the past faced the concerns of investors such as the Church of England who sold its stake in the 2010 business, citing its "respect for them." human rights and local communities. "

Zambian Protestations

Vedanta Resources also faces legal challenges in Britain. Zambian villagers won last year the right to sue the company in London, although the company is appealing this decision. "We can not comment on Vedanta's intentions behind their plans to delist the London Stock Exchange, however, the write-off of the LSE will not eliminate their liability for the alleged pollution caused by Vedanta's copper mining activities at Chingola. " Oliver Holland, a lawyer in Leigh Day, based in London, who represents the villagers.

"A company listed on the London Stock Exchange and headquartered in the United Kingdom must comply with strict rules, including anti-corruption rules and modern slavery, and can of course be prosecuted in the United States. English Courts It is clear that if a LSE company looses and is no longer based in London, it will no longer have to comply with UK regulations and it would be more difficult to take action against them. before the English courts. "