Vedanta unveils $6 billion investment plan to fuel growth across sectors

Vedanta investments: Billionaire-Anil Agarwal-led mining conglomerate Vedanta Ltd has announced plans to invest a staggering $6 billion across various business verticals. This ambitious investment drive aims to bolster company's annual EBITDA by at least $2.5 billion, positioning it for substantial growth and value creation in coming years.

Expansive investment pipeline

At an investor meeting, Vedanta executives unveiled an expansive investment pipeline comprising over 50 active projects and expansions across multiple sectors, including aluminium, zinc, iron ore, steel, and oil and gas. se initiatives are projected to generate incremental revenue exceeding $6 billion, propelling company's EBITDA from an anticipated $5 billion in current fiscal year to $7.5 billion by FY27.

Vedanta Chairman, Anil Agarwal, expressed confidence in company's trajectory, asserting that it is poised to achieve significant milestones over next 25 years. Echoing his sentiments, Vice Chairman Naveen Agarwal elaborated on strategic plans aimed at enhancing operational efficiency and driving sustained value creation.

Key projects

Among noteworthy projects earmarked for immediate commissioning are expansion of Lanjigarh Aluminium refinery, capacity enhancements at Gamsberg Zinc facility, and significant strides in power generation capacity. se initiatives underscore Vedanta's commitment to operational excellence and market leership across its diverse business segments.

Vedanta also outlined a comprehensive strategy to reduce net debt levels to $9 billion by FY27. company's Chief Financial Officer, Ajay Goel, outlined plans for deleveraging initiatives, including internal accruals and strategic actions such as asset monetisation, to fortify company's financial position and drive sustainable growth.

Value unlocking through demerger

Vedanta's proposed demerger of businesses is poised to unlock substantial value for shareholders, facilitating greater focus and agility across independent verticals. move underscores company's commitment to enhancing shareholder value and streamlining its corporate structure to capitalise on emerging opportunities.

(With PTI inputs.)