The National Company Law Tribunal (NCLT) Mumbai has approved the demerger plan of mining to metal firm Vedanta Ltd, paving the way for it’s split into five sector-specific independent entities across aluminium, oil and gas, power, and iron and steel.
These would include Vedanta Aluminium, Vedanta Oil & Gas, Vedanta Power, Vedanta Iron and Steel and Vedanta.
Vedanta Limited will also act as an incubator for new businesses, including Vedanta’s technology verticals.
It will enable greater focus of the Vedanta management on the relevant businesses thereby allowing further streamlining of operations and more efficient usage of assets and leveraging of opportunities.
The demerger will enable investors to separately hold investments in businesses with different investment characteristics and market potential thereby allowing them to select investments which best suit their investment strategies and risk profiles.
As per Vedanta’s demerger scheme, it will also enable focussed and sharper capital market access (debt and equity), thereby unlocking the value of the demerged entities.
According to Vedanta’s demerger scheme, every Vedanta shareholder will receive one additional share in each of the four newly demerged companies on the completion of the demerger process.
A Vedanta Spokesperson said “The approval marks a key milestone in Vedanta’s transformation into focused, sector-leading companies with clear strategic mandates and dedicated capital structures. The Company will now proceed with the necessary steps to implement the scheme.”
Published – December 17, 2025 12:22 am IST
