Anil Agarwal-led Vedanta Group plans to split each of its business in oil and gas, aluminium, power, copper, zinc, silver, lead, iron and steel, nickel, ferro alloys, and semiconductor display glass into separate companies and list them on exchanges for a better focus for growth.
Sharing this idea with shareholders, Agarwal said that in the last two decades Vedanta has entered new business that are import-substitute, ones that create stiff entry barriers for new players.
“All these companies are in Vedanta Limited. The whole world is looking to invest in India. I have been told that the investors like pure play and all our business can grow many fold. I have asked all my advisors and my people to look into whether we can have these all product or some product to be independent,” he said in a disclosure to the BSE.
An independent management and the leadership can grow these businesses to the highest level to create value and develop several other products within this product, he added.
For shareholders, he said this also means that if you have one share of Vedanta, you will have many shares of other companies and people will have an opportunity to invest in different areas.
‘Better returns’
A few international companies want to invest in a particular area, and they will get that opportunity. Shareholders can get better returns also better dividend, he added.
“It is my vision and when I find it is appropriate, we will go to the Board and take it forward,” said Agarwal.