Vedanta revises guidance on dollar bonds-source
HONG KONG, June 25 (Reuters) - India-focused mining group Vedanta Resources (VED.L) widened guidance for its two-tranche dollar bond sale, a source involved in the deal said on Wednesday.
The London-listed mining firm is now offering a 5.5-year tranche at a yield of around 8.75 percent, said the source, who is not authorised to talk to the media about the sale. That compares to the around 8.25 percent guidance it had provided on Tuesday.
Vedanta will also offer its 10-year tranche at a yield of around 9.5 percent, compared to its previous guidance of around 9 percent.
The size has not yet been determined, but it would likely be a total of $1 billion, the source added.
Vedanta had initial plans to raise up to $2 billion, an investor source had told Reuters on Monday, by offering as well an additional seven-year euro-denominated tranche.
The proposed debt issuance has been rated BB by Standard & Poor's and Ba1 by Moody's, both just a step below investment-grade.
JP Morgan (JPM.N) and Morgan Stanley (MS.N) are the joint global coordinators for the sale, with Barclays Capital, Citigroup (C.N) and Deutsche Bank (DBKGn.DE) as additional bookrunners. (Reporting by Rafael Nam; Editing by Kim Coghill)
