Bids worth over Rs 25,000 crore pour in for Rs 8,000-crore Vedanta QIP

The qualified institutional placement (QIP) offering of Vedanta has received bids totalling more than Rs 25,000 crore as against the offer size of Rs 8,000 crore

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26 Aug, 2025 12:21

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The qualified institutional placement (QIP) offering of Vedanta has received bids totalling more than Rs 25,000 crore as against the offer size of Rs 8,000 crore with investors across categories including foreign portfolio investors (FPIs), mutual funds and insurance companies participating in the issue.

According to people familiar with the development, large mutual fund entities including Nippon India Mutual Fund, ICICI Prudential MF, SBI MF, Mirae, Aditya Birla MF and White Oak MF among others have put in bids in the offer.

The size of bids put in by mutual funds is said to be in the range of Rs 500 crore to Rs 800 crore each.

An email query sent to the company remained unanswered till the time of publishing this story.

Further, bids worth around Rs 1,500-2,000 crore have been put in by long-only funds as well with AIFS also participating in the offer with sizeable amount of bids.

Also Read: Anil Agarwal's Vedanta seeks over a billion dollars through an upsized QIP issue

The QIP, which opened on July 15, will close for bidding tomorrow (Friday).  The floor price for the offer has been set at Rs 461.26 a share.

The company plans to use the QIP proceeds to repay in part or full the debt it owes to Oaktree Capital, Deutsche Bank and Union Bank of India, the offer documents filed by billionaire Anil Agarwal’s company show.

The primary purpose is to repay or prepay, in full or in part, certain outstanding borrowings availed by the company and one of its subsidiaries - THL Zinc Ventures Ltd, the prospectus filed by the oil and metals firm with exchanges says. A small part of the proceeds will be used for certain general corporate purposes.

As of June 25, the company owed Rs 17,470 crore to Oaktree, Deutsche Bank and Union Bank of India.

Of these, Oaktree has an exposure of Rs 2,500 crore through debentures and a dollar-loan facility worth approximately Rs 7,470 crore. Vedanta owes Rs 6,400 crore to Union Bank and Rs 1,100 crore to Deutsche Bank.

Shares of Vedanta lost nearly a percent on July 18 to close at Rs 451.45. The shares have largely remained flat in the last one month though it has gained a little over 21 percent in the last three months.

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