Vedanta seeks $1 billion in upsized share placement
Vedanta is joining a slew of Indian companies tapping stock investors amid surging valuations and increasing demand for equity investments in the country.
Japanese steel firms Nippon Steel and Sumitomo Metals are likely to retain Tata Steel as partner for India, post their proposed merger. Nippon Steel has a tie-up with Tatas and Sumitomo Metals has a partnership with Bhushan Steel. Industry sources said that the new entity, formed out of Nippon-Sumitomo’s existing businesses, will keep only one firm as its India ally and the balance is tilted towards Nippon’s long-standing partner Tata Steel rather than Sumitomo Metals’ Bhushan Steel, which has a marketing and technology tie-up with the Japanese firm.
“There could be conflict of interests, if they continue with both the firms and that is not Japanese way of doing business,” a source said, adding, “Obviously, Tata Steel has an edge as it is a bigger brand in global arena.”
