INSUBCONTINENT EXCLUSIVE:
Shares of Vedanta were on a weaker footing on Tuesday, with the Tamil Nadu government ordering permanent shutdown of its Tuticorin plant
The state government on Monday ordered the state Pollution Control Board to seal and "permanently" close the Vedanta group's copper plant
The action followed last week's violent protests over pollution issues that left 13 people dead in police firing.
Soon after the issuance of
the order, top Tuticorin district officials sealed the copper smelter unit.
The scrip was down nearly 2 per cent at Rs 248.25 at around 9.43
The Sensex was almost flat at 35,168.94, up 3.46 points from its previous close
Vedanta Ltd termed the closure as "unfortunate", saying it will decide the future course of action after studying the development.
"Closure
of Sterlite Copper plant is an unfortunate development, especially since we have operated the plant for over 22 years in most transparent
and sustainable way, contributing to the Tuticorin and state's socio-economic development
We will study the development and decide on the future course of action," Vedanta Ltd said in a statement.
Global brokerage firm, however,
It added that the development is negative for the stock in the near term and there is a downside risk to FY2019 EBITDA
