Moody's places Vedanta Resources CFR under review for downgrade

This stems from increase in refinancing risk and large funding needs at holding company level, following firm's failure to delist Vedanta Ltd

Moody's Investors Service today placed Vedanta Resources Limited's B1 corporate family rating (CFR) under review for downgrade.

Concurrently, Moody's has placed under review for downgrade the B3 ratings on the senior unsecured bonds issued by Vedanta and those issued by its wholly-owned subsidiary, Vedanta Resources Finance II Plc, and guaranteed by Vedanta, affecting $4.2 billion in outstanding debt.

The ratings outlook was changed to ratings under review from negative.

"The review follows an increase in refinancing risk and significant funding needs at the holding company level, following Vedanta Resources' failure to acquire the balance shareholding in key subsidiary Vedanta Limited