Indian mining company Vedanta Resources is going to list its Zambian copper arm on the London Stock Exchange in a bid to raise $1.1 billion as per a statement by the firm on Tuesday. The Konkola Copper Mines are owned 79% by Vedanta Resources.
Vedanta Resources will retain a majority holding despite the listing. If the listing takes place this year it will be the 5th Indian owned company to be listed on the London Stock Exchange in 2010. The others include Essar Energy, I-Energizer, Caparo Energy and Skil Ports
The money raised from the public listing of Konkola Resources will be used to expand its mines in Zambia and to repay debt, Mr Anil Agarwal, chairman of the group, said. Konkola Resources will also be listed separately on the Lusaka Stock Exchange.
The company operates the Konkola and Nchanga mines in Zambia. Konkola Resources has produced 173,000 metric tons of copper in the last financial year. It hopes to produce more than 400,000 metric tons annually by 2014.