5 New Shares In One: NCLT Hearing On Vedanta Demerger This Week, 'Demerger Progressing As Planned', Says Firm

Vedanta Demerger: The ongoing Vedanta Limited demerger into five independent sector-specific entities is progressing as planned, said Vedanta Resources, the holding company of the mining major, reported PTI. The update on Vedanta demerger has come days ahead of the National Company Law Tribunal (NCLT) hearing of Vedanta on Wednesday, October 29.

Vedanta Resources recently raised around 500 million dollars through bonds in October, reported news agency PTI. As per the report, the group will use the proceeds to repay near-term obligations.

Vedanta Demerger: NCLT Hearing This Week

The NCLT will hear the Vedanta demerger issue on Wednesday, October 29. The NCLT is likely to approve the demerger for further progress. The NCLT hearing for Vedanta demerger was earlier postponed after the ministry's objections as it sought details and clarification on the restructuring plan.

Vedanta Demerger Timeline

The demerger of Anil Aggarwal-owned metal-to-mining major was anticipated to be completed by the end of 2025. But as the demerger process is awaiting final approval from the NCLT and other required approvals are also pending, the demerger may be extended to the end of financial year 2025-26, according to experts.

"The rating watch continues to factor in the impending demerger of Vedanta's aluminium, oil and gas, power and iron and steel businesses into separate, standalone listed entities, with base metal (zinc international and copper business) now being part of the residual entity. Crisil Ratings has taken note of the approval received from the shareholders and creditors (secured and unsecured) of the company on February 18, 2025, on the proposed demerger scheme, thereby increasing the likelihood of successful completion of the demerger. However, the demerger process is still awaiting final approval from the National Company Law Tribunal (NCLT) and other requisite approvals and could take a few more months. As a result, we now anticipate the timeline to be the end of fiscal 2026 (against previously expected September 2025)," noted CRISIL in its report last week.

Vedanta Raises $500 Million Via Bond Issuance

Vedanta Resources Ltd, has successfully secured $500 million through a bond issuance in October, reported PTI on Sunday. The funds will be used to address immediate financial obligations. According to a letter to bondholders, the company highlighted that "the average maturity of its debt portfolio is now over four years, and it has reduced its weighted average interest cost to single digits, reflecting a stronger, more resilient capital structure".

The company has completed a $500 million bond issuance, utilising the proceeds to settle near-term liabilities, including a $550 million Private Credit Facility (PCF), aligning with its deleveraging strategy. Consequently, the Group now faces no significant maturities until FY27, ensuring a balanced liability framework. Vedanta Resources maintains robust liquidity through dividend inflows from subsidiaries and healthy free cash generation.

Vedanta Share Price Trend

Vedanta shares were trading 1.15% higher at Rs 501.4 per share on BSE with a market capitalisation of Rs 1,96,066.86 crore. The company scrip opened at Rs 500.05 per share and jumped to an intraday high mark of Rs 504.60 per share on BSE. The stock price valuation a has surged around 12.9% since the beginning of the year 2025 and by 10% in one year.