The London-listed miner Vedanta is reported to be considering spinning off several of its interests, resulting in five or six companies plus a parent.
According to the Independent on Sunday, a number of leading mining bankers in London have been asked to examine plans for the listings.
The move is designed to boost the companyÔÇÖs overall market value.
It is believed that most of the listings will be of a size that would place them on the edge of the FTSE 100; however, they could not place there as the ultimate parent is a FTSE 100 company.
The Independent said London-based Vedanta wants a copper flotation to value the new business at $10 billion.
Some potential advisers have said that the majority of the listings will end up in India and Hong Kong; however, some have advised that London would be a suitable location for some spin-offs.
The spin-offs will reportedly each specialise in a certain area (for example, copper) and will be of sufficient size to attract enough capital to grow.
The move would simplify Vedanta's corporate structure, and make it easier for investors to value the parts that were demerged from the parent company, the paper said.
Vedanta would retain controlling interests in each of the separately listed companies.
Vedanta is a complex mining conglomerate, with interests in aluminium, power and zinc. In the year to 31 March 2009, the companyÔÇÖs total revenue was $6.6 billion.
For the first nine months ending December 31 2009, Vedanta reported a 34.7 per cent increase in alumina production to 559,000 tonnes; and a 14.3 per cent increase in aluminum production to 375,000 tonnes.
Refined zinc production increased 6.7 per cent to 428,000 tonnes, while refined lead production increased 10.6 per cent to over 4 million tonnes.
Silver production increased 48.2 per cent to 2.7 million ounces; and iron ore production increased 22.5 per cent to 11.1 million tonnes.
Vedanta employs over 29,000 people, with operations in India, Zambia and Australia, and further potential opportunities in China, south-east Asia and the Middle East.
Vedanta has not yet confirmed or denied the reports.
