The 5 new companies will be named Vedanta Aluminum, Vedanta Oil and Gas, Vedanta Power, Vedanta Steel and Ferrous Materials and Vedanta Base Metals. Vedanta will act as an incubator for Vedanta Group, while also functioning as the holding company for Hindustan Zinc.
About a decade after combining all its businesses into Vedanta Ltd and then announcing a plan to make the company private, its chief, Anil Agarwal has now decided to split the business into six companies based on their business lines. The companies demerged from Vedanta would be Vedanta Aluminium, Vedanta Oil & Gas, Vedanta Power, Vedanta Steel and Ferrous Materials, and Vedanta Base Metals.
Resources conglomerate Vedanta, which faces bond redemptions exceeding $3 billion over the next 18 months at its UK-based holding company, Friday said it would demerge into six listed companies to undergird the valuations of its revenue streams as diverse as mining, energy, and non-ferrous metals.