Vedanta Block Deal Today: Shares fall over 6%; what we know so far

vedanta block deal today: shares fall over 6%; what we know so far

Vedanta Block Deal Today: Shares of Vedanta dropped over 6 per cent on Wednesday, June 26 after a block deal took place on its counters. The metal stock hit the day's low at Rs 426.05 apiece on NSE. However, at the time of filing this report, at 1:30 PM, its shares recouped some losses to trade around Rs 442 level.

The scrip's counter saw unusually high volumes in Wednesday's trade, with more than 27.87 crore shares changing hands around the same time.

Vedanta Block Deal: Which promoter is the seller?

Vedanta Resources, the parent company of the mining conglomerate Vedanta Limited, confirmed early on Wednesday that it intends to divest a 2.6 per cent stake in Vedanta Limited. The block deal came a week after Chairman Anil Agarwal said there were no plans for a stake sale by the company's controlling shareholders.

Vedanta Resources sold the stake through its unit Finsider International, which held a 2.63% stake in Mumbai-listed Vedanta as of March-end, according to exchange data. As of March 31, 2024, the UK-based Vedanta Resources owned 61.95% of Vedanta through six subsidiaries.

Vedanta Resources, facing a debt of US$ 6 billion as of March 31, has seen several credit downgrades amid concerns over liquidity and default risks. The sale is expected to reduce its debt by US$ 650 million by the end of fiscal 2025, as stated in the announcement.

Vedanta Dividend 2024

Between FY22 and FY24, Vedanta Limited paid out more than Rs 65,000 crore in dividends. Vedanta Resources got nearly Rs 44,000 crore as dividend which helped the parent company lower its debt.

Vedanta Split News

Vedanta has announced plans to split its businesses into separate entities and list them on the bourses. Vedanta demerger was announced by the company in September 2023. The demerger will create independent companies housing the aluminium, oil & gas, power, steel and ferrous materials and base metals businesses. The existing zinc and new incubated businesses will remain under Vedanta. All the newly created companies will list on the exchanges.

Vedanta Split Ratio

Vedanta Limited has already announced that shareholders will get 1 share of each of the five newly listed companies for every share of Vedanta.