(Bloomberg) -- Indian commodities tycoon Anil Agarwal’s Vedanta Ltd. is considering a share sale as soon as the coming weeks that could raise as much as 85 billion rupees ($1 billion), people with knowledge of the matter said. 

Vedanta is working with advisers including Axis Bank Ltd. subsidiary Axis Capital and Citigroup Inc. on the offering, the people said. It has started gauging interest from potential investors including Middle Eastern funds, according to the people, who asked not to be identified because the information is private. 

Shares of Vedanta have risen 78% this year, giving the company a market value of about $20.5 billion. The stock rose as much as 2.7% Tuesday morning, before paring gains.  

Vedanta may raise the funds through a type of share sale known as a qualified institutional placement, once approved to do so by shareholders, the people said. It is discussing whether to launch the deal soon to take advantage of the Indian equity rally, though the timeline could change, the people said. The BSE Sensex has climbed almost 20% over the past seven months. 

Details of the potential fundraising could change and there’s no certainty that Vedanta will proceed with a deal.

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A Citi spokesperson declined to comment. Axis Bank and Vedanta didn’t immediately respond to emailed requests for comment.

--With assistance from Rajesh Kumar Singh.

(Updates share price move in third paragraph.)

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