This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
Vedanta Upgraded to B by S&P
December 23, 2024
Vedanta Resources was upgraded by a notch to B from B- by S&P. The upgrade comes after the company announced it had obtained approval from bondholders for its bond consent solicitation exercise. Key amendments in the bond covenants will remove a springing maturity clause, increase debt flexibility, and allow higher dividends for Vedanta Resources. According to S&P, this development removes the risk of an accelerated bond maturity following a $400mn shortfall in a recent bond raise by the company. Debt headroom at Vedanta’s holding company, Twin Star Holdings, will rise by over $1bn, giving more flexibility to manage the $1.15bn due in April 2026. However, there remains a funding gap of over $700mn for fiscal year 2027, putting pressure on liquidity. The company’s creditworthiness has improved, supported by recent bond issuances, although refinancing risks remain a concern. S&P has a stable outlook on the entity, assuming proactive management of the upcoming debt maturities and continued operational strength.
Vedanta’s bonds traded stable with its 11.25% 2031s at 105.3, yielding 10.16%
Go back to Latest bond Market News
Related Posts:
Vedanta Ltd. Reports Strong Q2 Earnings
November 11, 2024
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.