Fitch Upgrades Vedanta Resources Outlook to 'Positive' on Strong Earnings, Debt Reduction

• Fitch Ratings revised Vedanta Resources Ltd's (VRL) outlook from 'Stable' to 'Positive', citing strong earnings prospects and debt reduction.
• The rating agency affirmed VRL's Long-Term Foreign Currency Issuer Default Rating at 'B+'.
• Fitch expects VRL's consolidated EBITDA net leverage to drop to 3.2x or below, driven by commodity price assumptions and deleveraging efforts.
• Zinc, aluminum, and oil & gas businesses are projected to contribute approximately 90% of VRL's $5.3 billion adjusted consolidated EBITDA in FY25.
• Despite the positive outlook, Fitch noted corporate governance risks, complex structure, and managerial liquidity risks at the holding company level.

Why It Matters: Fitch's 'Positive' outlook for Vedanta Resources signals improved financial health and potential share impact.