...SINGAPORE (Standard & Poor's) Jan. 12, 2016--Standard & Poor's Ratings Services said today that its rating on Vedanta Resources PLC (Vedanta: foreign currency B+/Negative/--) is unaffected by the company's tender offer for up to US$500 million of the US$1.25 billion convertible bonds due July 2016. We believe the tender offer is opportunistic and not a distressed exchange, because it gives investors an option to tender and a failure will not increase the likelihood of conventional default in the near term. The tender offer will be funded from the term loan raised at Vedanta Resources PLC and the funds received through the part repayment of an intercompany loan by Vedanta Ltd. The tender offer is for about 25% of the US$2 billion mid-2016 maturities and less than 5% of Vedanta's total debt. We believe Vedanta continues to make progress on tying up refinancing for the upcoming US$2 billion maturities in mid-2016. This is driven by the company's fair banking relationships. At the same time,...
