India Inc. saw a major twist in the Vedanta demerger latest update as NCLAT granted a much-needed breather to Anil Agarwal-led Vedanta Ltd. The appellate tribunal has stayed the NCLT’s March 4 order that earlier rejected the company’s ambitious restructuring plan. This move not only revives confidence in Vedanta’s strategic blueprint but also strengthens the long-term outlook for its shareholders.
Here’s what you need to know about the business split, share price performance, and what it means for retail investors.
Vedanta Demerger Latest Update: NCLAT Stay Order
In a significant regulatory breakthrough, the National Company Law Appellate Tribunal (NCLAT) granted an interim stay on the National Company Law Tribunal’s (NCLT) earlier rejection of Vedanta’s demerger scheme. The stay, dated May 27 and uploaded on May 28, comes with certain conditions that Vedanta must meet.
This move reinstates Vedanta’s plan to split into five distinct entities:
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Vedanta Limited (existing listed entity)
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Vedanta Aluminium Metal
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Vedanta Power
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Vedanta Oil & Gas
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Vedanta Iron and Steel Limited
Each of these entities will be separately listed on NSE and BSE, enhancing sector-specific valuation and unlocking shareholder value. With approvals already secured from shareholders and creditors, the record date and ex-date are expected to be announced soon.
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Share Price Impact and Market Sentiment
Following the Vedanta demerger latest update, Vedanta’s share price saw a modest uptick, trading around ₹451 on the NSE on May 29, up by nearly 1%. The stock’s positive response reflects market optimism around the potential value unlocking from the demerger.
Investors now expect focused management, improved transparency, and operational independence in each vertical. This restructuring could potentially re-rate Vedanta’s stock over the medium term, especially as commodity cycles play out differently across aluminium, oil, power, and steel.
Q4 Performance: Profits Soar Amid Uncertainty
Despite the regulatory headwinds, Vedanta has posted robust financial results. For the March 2025 quarter, the company reported a 154% jump in consolidated net profit at ₹3,483 crore compared to ₹1,369 crore in the same period last year.
Revenue also grew by 14%, reaching ₹40,455 crore. These numbers highlight strong operational momentum, especially across core verticals like zinc, aluminium, and oil & gas. The healthy performance offers a buffer for the company during this transitional phase.
What’s Next: Record Date, Listing Plan & Investor Strategy
With NCLAT’s relief order in place, Vedanta is now on track to announce the record date for share entitlement under the demerger plan. According to the proposal, Vedanta shareholders will receive 1 share each of the four new entities for every share held in Vedanta Limited.
Once the listing process is completed, investors will effectively hold a diversified portfolio of sector-specific businesses. For long-term investors, this could mean better capital appreciation, higher transparency, and industry-tailored investment opportunities.
Retail investors should monitor further regulatory disclosures and upcoming timelines closely. Also, keeping an eye on sector performance—especially aluminium and oil—can guide timely entry or exit strategies post-listing.
Final Thoughts: A Strategic Reset for Long-Term Gains
Vedanta demerger latest update is more than just corporate housekeeping—it’s a visionary shift towards sector-focused growth. Anil Agarwal’s leadership appears determined to create agile, industry-specific giants. While regulatory approvals are still unfolding, the NCLAT’s interim stay gives Vedanta the push it needed to stay on track.
As an Indian retail investor, staying updated and evaluating sectoral prospects of each spun-off company could be your edge in navigating this transformation. From aluminium to energy, each company could carry its unique growth story.
Disclaimer: The views and investment insights provided here are based on publicly available information and do not constitute financial advice. Readers are advised to conduct their own research or consult certified financial experts before making investment decisions
