Moody's revises outlook on Vedanta to negative; affirms B2 rating

Debt maturities to stay elevated in Fy23; Fy24

Global rating agency Moody's has changed the outlook from “stable” to “negative” on Vedanta Resources Ltd (VRL) reflecting large near-term refinancing requirements amid tightening liquidity in the capital markets.

It, however, affirmed VRL’s “B2” corporate family rating (CFR) and the B3 rating on the senior unsecured notes issued by VRL and those by Vedanta Resources Finance II Plc.

Kaustubh Chaubal, Vice President and Senior Credit Officer, Moody's said the continued delay in refinancing its upcoming debt maturities with long-term funding raises concerns over the company's liquidity management. The supportive commodity prices have improved the company's key financial metrics.

Moody's considers