29 Mar 2026, Sun

Vedanta demerger: Mining giant Vedanta Limited is going to be divided into 5 pieces, CEO Anil Aggarwal revealed

Which new companies will be formed?

  • Vedanta Aluminum- Will handle the aluminum business.
  • Vedanta Oil and Gas- Will look after the oil and gas business.
  • Vedanta Steel and Ferrous- Will look after the iron and steel business.
  • Vedanta Base Metals- Will handle the copper and zinc business.
  • Vedanta Power- Will look after the work of power generation.
  • Vedanta Limited- Will see investment and new businesses such as semiconductor

Why did Vedanta take the decision of demerger?

The company has taken this decision to reduce its debt burden. Vedanta Group companies, especially Vedanta Resources, have a lot of debt. By the end of December 2025, the company has a debt of about Rs 60624 crore. Of this, Vedanta Resources has a debt of about 4.9 billion dollars (41000 crore rupees) till March 2025.

Anil Aggarwal said that this debt will be reduced by $3 billion in the next three years. After demerger, this loan will be distributed among the five newly formed companies on the basis of their cash flow and assets. If the companies are separated, their value will increase, so that if needed, the loan can be repaid by selling the stake. The aim of the company is to reduce the ratio of debt to profit. Apart from this, due to separation of companies, their management and board will be different, which will speed up work and increase profits.

benefit to investors

Investors are to benefit from the demerger of the company because if someone currently holds 1 share of Vedanta Limited, then after the demerger he will have a total of 6 shares. Not only will the shares of Vedanta Limited remain, but shares of 5 new companies will also be available for free. No separate money will have to be paid for this. The process of demerger will start from April 1 and new companies can be listed in the market by mid-May.

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