Vedanta Demerger: Anil Agarwal Shares Update At AGM Amid Viceroy Report Row

Vedanta Ltd. Chairman Anil Agarwal said that the company's demerger is progressing steadily and should be completed by September. It will involve splitting the group into individual entities in the aluminium, oil and gas, power, and base metals segments.

“We expect the process to get the required approvals shortly,” he said at the company's Annual General Meeting on Thursday. “Once implemented, for every share held in Vedanta Ltd, each shareholder will receive one share in each of the four demerged companies.”

Each of these businesses has the potential to evolve into a $100 billion enterprise, the chairman said.

The demerger has been in the works for several months, with the company stating that separating its businesses will allow each entity to focus on its core operations and attract sector-specific investors.

This comes amid the controversy triggered by the Viceroy Research report. According to Vedanta Resources Chief Executive Officer, Desnee Naidoo, there was nothing in the reports that wasn't already disclosed.

The authors had compiled only part of the information, she said.

He also highlighted the group’s financial performance, saying fiscal 2025 marked a landmark year with record revenue of Rs 1.5 lakh crore and the second highest-ever Ebitda, exceeding Rs 40,000 crore.

“Vedanta emerged as the top wealth creator among NIFTY 100 companies, delivering total shareholder returns of 87%,” he noted.

The chairman also outlined key growth projects across businesses. Hindustan Zinc Ltd., a Vedanta subsidiary, is investing Rs 12,000 crore to set up a new integrated smelting complex with a capacity of 2.5 lakh tonnes as part of its ‘2x growth’ ambition.

In the oil and gas segment, Vedanta aims to double production to 3 lakh barrels per day. Exploration efforts are ramping up, particularly in India’s Northeast and deepwater blocks, with an eye on unlocking the country’s untapped hydrocarbon potential.

Agarwal also announced plans to scale up aluminium production to 31 lakh tonnes, alongside the development of a new greenfield aluminium smelter with a 30 lakh tonne capacity. Recent acquisitions of 10 critical mineral blocks are expected to further strengthen the company’s portfolio in the resource space.

On the innovation front, Vedanta is gearing up to partner with 1,000 startups in the deep-tech sector. “This will make Vedanta one of the largest innovation hubs, nurturing the next generation of technology champions who will shape the future of Bharat,” Agarwal said.

Highlighting Vedanta’s contribution to nation-building, he stated that the company has paid Rs 4.5 lakh crore in taxes over the past decade, making it one of India’s largest taxpayers.

Looking ahead, Agarwal remained bullish on India’s resource potential. “India has an amazing geology, comparable to Canada, Australia, and South Africa. We’ve explored just 25% of it so far—the rest is waiting to be unlocked.”