Vedanta to hold shareholder and creditor meetings on February 18 for demerger process

Vedanta Limited, on Friday, January 17, announced that it will hold virtual meetings for its equity shareholders, secured creditors, and unsecured creditors on Tuesday, February 18, 2025, as part of the ongoing demerger process.

These meetings are part of a Scheme of Arrangement involving Vedanta Limited and its subsidiaries, in accordance with the National Company Law Tribunal (NCLT) order.

"The scheme of arrangement is between Vedanta Ltd. and Vedanta Aluminium Metal Ltd. and Talwandi Sabo Power Ltd. and Malco Energy Ltd. and Vedanta Base Metals Ltd. and Vedanta Iron and Steel Ltd. and their respective shareholders and creditors under Sections 230-232 and other applicable provisions of the Companies Act, 2013 (“Scheme”)," the company said in an exchange filing.

In 2023, Vedanta announced plans to split its aluminium, oil & gas, power, steel & ferrous materials, and base metals businesses, along with the existing listed entity. However, in December 2024, the company decided to retain base metals within Vedanta, stating that a demerger would be considered when the business matures and evolves.

Shareholders of Vedanta are set to receive one share of each demerged entity for every share they hold in the listed entity as of the record date.

Among Vedanta’s key creditors are State Bank of India, Bank of Baroda, Canara Bank, and Union Bank of India. Some of its key shareholders include Life Insurance Corporation of India, which held a 6.96% stake in the company at the end of December, while promoters held a 56.38% stake.

Vedanta filed the demerger scheme with the NCLT in August last year, after receiving approval from three-fourths of its creditors in July.

At 10:36 am, Vedanta shares were trading 1.6% higher at Rs 456.8 on the BSE. However, the stock has declined 10% over the past month but gained 71% in the last 12 months. The company’s market capitalization stands at Rs 1,77,981 crore.

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