Nickel price hits 4-year low as gloom offsets potential Indonesia cuts
Indonesia is now considering deep cuts to nickel mining quotas as it seeks to boost slumping prices of the metal.
Indian miner Vedanta Ltd will sell a 3.3% stake worth more than $950 million in unit Hindustan Zinc, it said on Wednesday, bigger than the 2.6% stake it initially planned to hive off.
Vedanta said it will sell 140 million Hindustan Zinc shares.
That values the sale at 80.05 billion rupees (about $954 million), based on Hindustan Zinc’s stock closing price of 571.75 rupees on Wednesday.
The share sale is scheduled for Aug. 16 and Aug. 19 for a floor price of 486 rupees, as per a BSE circular.
The stock dropped 1.4% on the day. Vedanta had said after the markets closed on Tuesday that it would sell a 2.6% stake.
Last month, the miner raised 85 billion rupees through a share placement.
Vedanta’s UK-based parent, Vedanta Resources, is seeking to cut its debt by $3 billion over the next three years, it said earlier this year.
($1 = 83.9190 Indian rupees)
(By Manvi Pant; Editing by Savio D’Souza and Maju Samuel)
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