Vedanta Ltd was trading a percent lower on November 16 afternoon. The mining conglomerate’s subsidiary, Malco Energy Limited, has set up a new unit in Saudi Arabia for copper business for SAR (Saudi riyal) 1,00,000, the company said in an exchange filing on November 15.
The unit has been named ‘Vedanta Copper International VCI Company Limited’. The move comes as the conglomerate mulls restructuring of its business.
In September, the company’s board approved a plan to split the business into six separately listed companies.
Equity99 is bullish on Vedanta and has a “buy” call on the stock with a target price of Rs 375.
In 2022, the company, which has a diversified presence in oil and gas, metals and mining , flagged plans to invest in the mineral sector in Saudi Arabia, saying it was in discussions to identify investment opportunities in the region.
The stock has lost 15.04 percent of its value over the past six months against the benchmark Nifty giving a return of 8.07 percent during the period.
At 12.31 pm, the stock was trading at Rs 238.30 on the National Stock Exchange, down 0.75 percent from the previous close.