Vedanta Group has launched a new copper unit in Saudi Arabia, through its subsidiary, Malco Energy Limited, with an investment totaling SAR (Saudi Riyal) 1,00,000 (approximately INR 22 lacs). The newly created entity, identified as Vedanta Copper International VCI Company Limited, was revealed through an official filing with the exchange.
Vedanta one of the leading natural resources and technology MNC operating across India, South Africa, Liberia and Namibia. With a presence in metals and mining, oil and gas, and power sectors, Vedanta produces aluminum, zinc, and oil. The company is working towards sustainable development, social responsibility, and environmental protection. Vedanta is known for its innovative and responsible business practices.
Vedanta’s board had earlier sanctioned a plan to divide its business into Vedanta Aluminum, Vedanta Oil and Gas, Vedanta Power, Vedanta Steel and Ferrous Materials, Vedanta Base Metals, and Vedanta Ltd, which will be listed as separate entities on the domestic market. “The demerger is planned to be a simple vertical split, for every 1 share of Vedanta Limited, the shareholders will additionally receive 1 share of each of the five newly listed companies,” the firm had remarked in a stock exchange filing.
Vedanta claims that the demerger of the company makes its corporate structure simpler by creating autonomous, sector-focused subsidiaries. This demerger is also expected to offer direct investment options in these pure-play companies to global investors, including sovereign wealth funds, retail investors, and strategic investors. Vedanta’s latest endeavor, Vedanta Copper International VCI Company Limited, signifies the group’s resolution to expand its copper operations. Anil Agrawal, Chairman, Vedanta, stated that the establishment of this new unit is living proof of Vedanta’s vision to promote ‘pure play’ businesses.
On November 6, Vedanta Resources and the Zambian government finalized an agreement to restore Vedanta’s ownership of Konkola Copper Mines (KCM). This resolution concluded a series of legal battles initiated by Vedanta to regain control of KCM after the Zambian government seized the copper assets in 2019, accusing Vedanta of insufficient investment in boosting copper production. The agreement involves the reinstatement of the KCM board and the withdrawal of all legal challenges currently in court, providing a path to normalizing the company’s operations in Zambia. The signing of agreement was conducted between ZCCM-IH and Vedanta in Lusaka.
Vedanta is also in discussions with Taiwan-based TFT LCD maker, Innolux Corporation, exploring the possibility of establishing a display fabrication plant in India. Earlier collaborations include a joint venture with Taiwanese electronics manufacturing giant Foxconn, which unveiled plans to invest $19.5 billion in setting up a semiconductor wafer fabrication plant. Even after the establishment of the new copper unit, Vedanta Ltd’s shares closed at ₹238.70, reflecting a 1.34% decrease on Wednesday.
