Vedanta Group’s Four Demerged Businesses to Debut on Stock Exchanges on Monday

New Delhi, Jun 12 (PTI): Vedanta group’s four demerged businesses are expected to list on the Bombay Stock Exchange and National Stock Exchange on Monday, sources said.

Besides Vedanta Ltd, which is already listed, the shares of four newly created entities – Vedanta Aluminium Metal (VAML), Vedanta Oil & Gas (VOGL), Vedanta Power and Vedanta Iron & Steel (VISL)  will begin trading on Indian stock exchanges.

The much-awaited demerger is likely to unlock substantial value for shareholders since each company will now operate independently and raise capital as per its business plans, while giving investors an opportunity to invest in a specific sector.

Vedanta’s demerger was approved by the National Company Law Tribunal in December last year. Under the 1:1 approved demerger scheme, shareholders will receive one share of each demerged company for every one share held in the currently listed Vedanta Ltd.

During an investors’ call after the fourth quarter financial results, Vedanta Resources CEO Deshnee Naidoo had said Vedanta entities will trade by mid-June post-demerger.

Vedanta had earlier said that the demerger will help in simplifying Vedanta’s corporate structure with sector-focussed independent businesses and provide opportunities to global investors, including sovereign wealth funds, retail investors and strategic investors, with direct investment opportunities in dedicated pure-play companies linked to India’s remarkable growth story through Vedanta’s world-class assets.

It will also provide a platform for individual units to pursue strategic agendas more freely and better align with customers, investment cycles and end markets, it added.

(with inputs from PTI)