Vedanta ready to buy Anglo American’s mines

Vedanta-ResourcesIn what could cost India's biggest mining group $1.34 billion, Vedanata has agreed to but the mines of Anglo American. The mines deal with zinc and are situated in the countries of Namibia, South Africa and Ireland.

The company, which recently got listed on the London Stock Exchange is trying to expand its global footprints and the buying of mines is a part of that plan.

Vedanta in a statement said that the deal is going to help it to consolidate its position as the largest integrated producer of zinc and lead in the world. From its current position, the deal is going to shoot up its market share to 11 per cent.

The firm also said that the transaction is going to be all-cash and the same will be financed with its cash reserves. Currently, the mining company has $ 7.2 billion as reserves.

On the other hand, Anglo which is one of the biggest mining companies is selling the peripheral operations so that it can increase efficiency.

The core commodities of Anglo are platinum and iron-ore. The sale is part of the announcement which it made in October.