Vedanta Resources’ Indian subsidiary Vedanta Ltd on Friday (29) announced plans to demerge five of its key businesses, including aluminium, oil and gas, and steel, into separate listed entities.
The move is aimed at unlocking value of the mining conglomerate, led by Anil Agarwal.
"The de-merger is planned to be a simple vertical split, for every 1 share of Vedanta Limited, the shareholders will additionally receive 1 share of each of the 5 newly listed companies," the firm said in a stock exchange filing.
The board of Vendata Ltd approved "a pure-play, asset-owner business model" that will result in aluminium, oil and gas, power, steel and ferrous materials, and base metals being demerged and listed separately.
Vedanta Ltd will continue to hold 65 per cent of Hindustan Zinc Ltd as well as the new businesses of stainless steel and semiconductor/display.
The entire exercise is proposed to be completed in 12-15 months.
(With inputs from PTI)
Vedanta’s Indian arm to demerge five businesses into separate firms
Move aimed at unlocking value of the Anil Agarwal-led mining conglomerate
