Media reports, based on a release from Volcan Investments, family trust of  Anil Agarwal, Chairman of the Vedanta Group, said that it will be making an additional investment of between £ 1.25 billion to £ 1.50 billion in Anglo American.

This will increase Agarwal’s shareholding in Anglo American by roughly an additional 9%. It will be remembered that Agarwal had purchased about 12.43%, earlier this year, in March. His stake will thus go up to over 21% and make him the largest shareholder of the mining giant. 

It is also reported that Agarwal will neither angle for a directorship on the board of Anglo nor in any way be involved in its running. His position will be purely that of an investor.

“We are encouraged by the performance of Anglo American since our original investment earlier this year,” Volcan Investment is quoted by reports as saying. “The company has made good progress in its operational and financial performance and remains an attractive investment for our family trust.” 

Further, sources also stated that it is  Agarwal’s belief   that Anglo American – founded by the Oppenheimer dynasty a century ago – “is capable of getting technology and skilled people to India which will help in increasing domestic production of metals like copper, diamond, gold”, a media report added.

For Agarwal, his investment in Anglo allows him to broaden his mining portfolio from Vedanta’s interests in zinc, aluminium, iron ore, copper, power, silver and lead to that highly desirable commodity – diamond.

Vedanta issued a statement making it clear that the investment is being made by Volcan alone, and that the company will in no way be associated with the investment.