The investment – worth up to £2 billion ($2.4 billion) in Anglo shares - is coming from Volcan Investments Ltd, which is in turn owned by the Agarwal family trust.
Given that Anil Agarwal is the chairman and founder of Vedanta, the transaction is likely to raise eyebrows in the metals and mining community and have deal-hungry bankers salivating at the prospect of further merger and acquisition down the line.
But Volcan has made it clear from the outset – partly due to its obligations under the UK Takeover Code - that it does not plan to launch a takeover bid for Anglo. It has also stressed the investment is coming from the Agarwal family trust.
Even a few years ago, the potential for M&A activity in the mining community was significantly higher. Miners had been hard hit by the decline in commodity prices amid a slowdown in China and...
