The spotlight is on the Vedanta share price ahead of the board meet to consider the second interim dividend. However, what’s really keeping investors on the edge is the fresh turbulence that’s hit the company’s long-awaited demerger plan.
So, what is exactly is holding up Anil Aggarwal led Vedanta’s demerger? Here are the five big takeaways investors should know.
Vedanta demerger: NCLT defers the hearing
Vedanta group’s much-talked-about demerger plan, which aims to split the company into five separate businesses, has hit a fresh hurdle. The NCLT has delayed the hearing on Vedanta’s demerger scheme after objections were raised by both the Centre and SEBI.
According to reports, the government raised some concerns about the company “concealing key information, inflating revenue, and hiding liabilities” in its filings.
Vedanta demerger: SEBI flags compliance issues
SEBI issued a warning letter to Vedanta on August 13, pointing to a procedural lapse. The regulator said the company modified its scheme of arrangement without prior approval.
Vedanta, however, clarified in an exchange filing that, “The company has been advised to exercise caution in future and forward the board’s comments to SEBI on satisfaction of corrective actions undertaken to ensure future compliance.”
The company also stressed that SEBI has “no further comments on the merits of the scheme.”
In an email reply to Financial Express queries, a Vedanta spokesperson said the planned demerger is aimed at unlocking long-term value by setting up sector-focused, pure-play businesses led by independent management teams.
The spokesperson said, ““The Company has informed the Hon’ble National Company Law Tribunal that the Company will issue a corporate guarantee in favour of the Ministry of Petroleum and Natural Gas (MoPNG) once the Scheme becomes effective.”
Supreme Court ruling on Talwandi Sobo
Adding to the drama, Vedanta’s subsidiary Talwandi Sabo Power lost a case in the Supreme Court related to customs duty benefits under the Mega Power Policy.
However, some of the reports linked this judgment to the demerger process. Vedanta clarified, “The judgment pertains to a legacy contractual matter… and has no bearing on the demerger process.”
Dividend decision pending
As of the latest development, Vedanta has also lined up a board meeting today, August 21 to consider a second interim dividend for FY26.
The record date for eligible shareholders has been fixed as August 27.
Vedanta share price
Vedanta share price has inched up by around 1% over the past five trading sessions. However, on a one-month basis, the stock is down nearly 2%, and over the past year, it has slipped about 2% as well. The company’s market capitalisation currently stands at Rs 1.66 lakh crore. Vedanta’s 52-week high is Rs 526.95, while its 52-week low is Rs 363.