Vedanta Resources is evaluating a public listing in the United States for its Zambian subsidiary, Konkola Copper Mines (KCM), as one of several options to secure approximately $1 billion for mine development. The company has engaged Barclays and Citigroup as advisors for a potential initial public offering, with New York under consideration as a possible listing venue. Discussions are still at an early stage and no timeline has been set.
Vedanta, controlled by Indian businessman Anil Agarwal, is seeking funds to support plans for increasing KCM’s copper production to around 300,000 metric tons annually over the next five years. The company holds an 80% stake in KCM, while the Zambian government owns the remaining 20% through its state investment arm. KCM is known for its high-grade copper deposits and reserves of about 400,000 tons of cobalt, both of which are in demand for clean energy technologies and electric vehicles.
The move to consider a U.S. listing comes after previous efforts to raise capital through private sales were unsuccessful. Last year, Vedanta attempted to sell a stake to International Resources Holding, based in the United Arab Emirates, but the deal fell through due to valuation disagreements. Other attempts to sell at least a 30% equity stake also did not result in a transaction.
Since regaining control of KCM after a lengthy legal dispute with Zambia’s previous administration, Vedanta has secured short-term financing, repaid local debts, and increased investment in surrounding communities. The company has also established a U.S.-based entity, Global Transition Resources Inc., which produces copper, cobalt, and gold in Africa. It remains unclear whether this entity will be used for the potential U.S. listing.
Vedanta is also in the process of restructuring its conglomerate into five separate businesses, with plans for separate listings. The company continues to explore a range of financing options, including internal funds, debt instruments, and equity, as it seeks to grow its operations worldwide.
