Under guidance of:Prof R. P. Pradhan Submitted by: Sourabh Rathore 11BM60127
VAL: A subsidiary of Vedanta Resources, a London based globally diversified natural resource group Vedanta resources operates in wide range from aluminium, copper, zinc, lead, silver, iron ore, oil & gas and power Revenue of Vedanta Resources plc US $11.4 billion in 2011 VAL is a leading producer of metallurgical grade alumina and other aluminium products, which cater to a wide spectrum of industries. Revenue of VAL is US $ 1,571.6 million
Lanjigarh plant, Orissa: 1 mtpa Greenfield alumina refinery and an associated 75 MW captive It is the first Alumina Refinery in India to adopt the Zero Discharge System Orissa has 50% of India’s bauxite ore, the mines are located at 3km from the plant; helps in reducing carbon foot prints during transportation Jharsuguda, Orissa:VAL has invested in a 0.5 mtpa aluminum smelter and 1215 MW captive power plant
Profile offered: Finance Expected topic: Analysis of investment portfolio & associated risk Description: Analysis of previous year investment portfolio. Evaluation of various investment options like stocks & shares, bonds & debentures and other options. A draft of portfolio design including various combination of investment opportunities to minimize the risk by ensuring the maximum returns assuming different economic scenarios.
Accounting concepts (Balance sheet analysis, Income statement, cash flow etc) Performance measures (Asset turnover, EPS, ROE, ROA, current ratio, quick ratio etc) Project evaluation (Breakeven analysis, NPV, payback period, cost of capital etc) Risk analysis, cost of capital , yield calculation of various debt option, stock options
Analysis of NPV and break even for the new project VAL has undertaken of 0.5 mpta capacity along with 1125 mw captive power plant at Jharsuguda, Orissa . With detailed cash flows and available options to raise the capital Working capital management from different options like short term loan, bonds & debentures to meet the current liabilities and obligations Evaluation of various performance parameters like ROE, EPS, asset turnover, current ratio, inventory turnover, dividend yield and other stock analysis