Vedanta shares in focus today as board to consider raising funds via debentures

Shares of metal and mining major Vedanta Ltd are in focus today as billionaire Anil Agarwal-led firm will hold a meeting today to consider issuance of non-convertible debentures (NCDs) on a private placement basis. In the pre-open session, Vedanta stock fell 0.11% to Rs 275 against the previous close of Rs 271.30 on BSE. Market cap of the firm stood to Rs 1.02 lakh crore.

In terms of technicals, the relative strength index (RSI) of Vedanta stands at 45.5, signaling neither the stock is overbought nor oversold. The stock has a one-year beta of 1.5, indicating very high volatility during the period. Vedanta shares are trading lower than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

The PE ratio of Vedanta stands at 7.01 signaling the stock is undervalued compared to its industry. The PE of the mining industry stands at 14.39.

"...We would like to inform you that the company proposes to hold a meeting of its duly constituted Committee of Directors on Thursday, April 13, 2023 to consider the proposal for issuance of Non-Convertible Debentures on a private placement basis. The above issuance is pursuant to the Board of Directors’ resolution passed at its meeting held on March 28, 2023," the mining company said.

In its Q4 update, the Mumbai-based mining company said that its total aluminium production almost came flat. Vedanta said total aluminium production rose 0.3 percent at 574 kt in Q4 as compared to 572 kt in the same period last fiscal. It also added that the cast metal aluminium production rose 1 percent quarter-on-quarter with Jharsuguda ramp up.

Vedanta Ltd is a subsidiary of Vedanta Resources Ltd, a natural resources company.

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