Twin Star Holdings to sell 4.3% in Vedanta

Mumbai: Twin Star Holdings - one of the promoters of Anil Agarwal-owned Vedanta Ltd - will be selling a 4.3% stake in the company through block deals Thursday, documents reviewed by ET showed.

The shares will be sold at a floor price of ₹258.50 a share, which translates into more than a 5% discount to Wednesday's closing price of ₹272.80 on the National Stock Exchange.

This sale of around 16 million shares is expected to bring in around $501 million, or ₹4,130 crore, for the promoter. Twin Star Holdings held a 46.4% stake in Vedanta, data showed.


JP Morgan India is the sole broker for the deal.

After a record dividend payout of ₹101.50 per share in FY23, Vedanta announced a dividend of ₹18.50 in May this year. These hefty dividend pay-outs come at a time when Vedanta's UK-listed parent, Vedanta Resources, has several upcoming debt obligations, including bonds worth $1 billion due in August, and bonds worth another $1 billion due in January.

Vedanta Resources had total debt repayments of around $4.2 billion in FY24, of which it has already paid $2 billion in the first quarter.

Natural resources major Vedanta has a presence in oil and gas, aluminium, zinc, power, iron ore, copper and steel, and recently announced earnings for the June quarter. Its consolidated sales fell nearly 13% on year to ₹33,342 crore, while profit slumped nearly 41% on year to ₹3,308 crore.