S&P Global Ratings said on Thursday that liquidity tensions eased Vedanta Resources Limited As the company has addressed a major part of its debt maturity for the current financial year. The rating agency also said that while Vedanta Resources Still has some money to raise, it has enough cash near its cash-rich India Will benefit from operational support and established banking relationships.

“said that,

“Weak access to resources in capital markets and the need for refinancing continue to constrain the ratings,” S&P Global Ratings said in a statement.

Vedanta Resources’ debt maturity for the rest of the financial year now stands at around USD 1.3 billion, from a refinance requirement of around USD 3 billion at the beginning of the current fiscal.

“We believe that the company will meet approximately half of the balance in FY 2023 from dividends going forward Vedanta Ltd., And the rest will be refinanced,” it added.

Even though Vedanta Resources has not been able to raise funding for the 2023 bond, the rating agency said it should still be able to meet the bond repayments by way of dividend from its subsidiary Vedanta Ltd.

“Our assessment of Vedanta Resources’ liquidity takes into account the impact on the company’s earnings from the fall in commodity prices in recent months and the unexpected taxation by the Indian government on oil,” it said.

Big dividend from its cash-rich India operating subsidiary has boosted billionaire led by anil agarwal Moody’s Investors Service had earlier said efforts to refinance Vedanta Resources Ltd’s debt.

Vedanta

69.7 percent stake in Vedanta Limited.