Foxconn-Vedanta JV split credit negative for UK conglomerate- CreditSights


FILE PHOTO: A man walks past the logo of Vedanta outside its headquarters in Mumbai, India January 31, 2018. REUTERS/Danish Siddiqui/File Photo

CHENNAI (Reuters) - A decision by Taiwan's Foxconn to withdraw from a $19.5 billion semiconductor joint venture with Vedanta is a "credit negative" for the Indian conglomerate's UK parent Vedanta Resources, debt research firm CreditSights said on Thursday.

Earlier this week, Foxconn said it had withdrawn from the JV, dumping a deal they had signed last year to set up semiconductor and display production plants in India. Vedanta on Wednesday said it would still enter the space this year having lined up partners.

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