Moody's Boosts Vedanta's Ratings Amid Strong Funding Access

Moody's has upgraded Vedanta Resources Ltd's bond ratings due to the company's effective access to funding sources. The corporate family rating improved to B3, citing successful USD 300 million bond tap and previous USD 900 million issuance. Moody's maintains a stable outlook, expecting prompt debt maturity management.

Moody's Investors Service has raised the bond ratings of Vedanta Resources Ltd, highlighting the company's robust access to funding. On Friday, the credit agency upgraded Vedanta's corporate family rating from Caa1 to B3, indicating improved creditworthiness.

The ratings revision extends to senior unsecured bonds sold by Vedanta Resources Ltd and its wholly-owned subsidiary, Vedanta Resources Finance II Plc, now rated from Caa2 to Caa1. The agency maintains a stable outlook for these ratings.

This upgrade stems from Vedanta's successful raising of USD 300 million via a tap option on its existing 10.875% senior notes due September 2029, following a USD 900 million issuance last month. Both were oversubscribed, underscoring investor confidence. Moody's expects Vedanta to handle its debt maturities, particularly the upcoming bond in April 2026, with similar diligence.

(With inputs from agencies.)