Multinational metals and mining firm Vedanta Resources Plc will delist from the London Stock Exchange, after its promoter group buys out about 33% of the public shares in the company, PTI reported on Monday. Volcan, the investment arm of the Agarwal family which runs Vedanta, has made an offer to buy public shareholding at 825 pence per share.
“In addition to the offer price, shareholders will also be entitled to receive the previously announced dividend of $0.41 per Vedanta share in respect of the twelve months ended March 31, 2018, which when taken together with the offer price represents a total value of 856 pence per share,” the company said in an exchange filing.
The company claimed the move is meant to simplify the corporate structure of Vedanta and its subsidiaries. Agarwal said that Vedanta Resources was the first Indian company to be listed on the Indian stock exchange, in 2003.
In May, the United Kingdom’s opposition Labour Party had called for delisting Vedanta Resources from the London Stock Exchange after police firing on a protest against the company’s plant in Thoothukudi town of Tamil Nadu killed 13 people. “After the massacre of the protestors this week, regulators must now take action,” UK’s Shadow Chancellor John McDonnell said at the time.