Vedanta demerger: 4 new cos to begin trading from June 15; all you need to know

After nearly three years of regulatory approvals and restructuring, Vedanta’s much-awaited demerger is entering its final phase. Starting June 15, four newly carved-out businesses of the natural resources giant will begin trading as independent listed companies, marking one of the largest corporate restructuring exercises in India’s mining and metals sector.

Demerger

The move will transform Vedanta from a diversified conglomerate into a group of four sector-focused companies, allowing investors to track and value each business independently rather than through a single holding company.

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Under the demerger scheme approved by the National Company Law Tribunal (NCLT) in December 2025, shareholders will receive one share of each of the four newly created companies for every one share of Vedanta Ltd held on the record date. The four entities set to be listed are Vedanta Aluminium Metal Ltd (VAML), Vedanta Oil & Gas Ltd (VOGL), Vedanta Power Ltd and Vedanta Iron & Steel Ltd (VISL).

Demerged entities

The four demerged entities will each focus on a distinct business vertical that currently sits under Vedanta Ltd.

Vedanta Aluminium Metal Ltd (VAML) will consolidate the group's aluminium business, including the Jharsuguda smelter in Odisha, one of the largest aluminium manufacturing facilities outside China, the Lanjigarh alumina refinery and Vedanta's 51 per cent stake in BALCO. The company is expected to play a key role in India's growing demand for aluminium across infrastructure, power and electric vehicle sectors.

Vedanta Oil & Gas Ltd (VOGL) will house the Cairn Oil & Gas business, India's largest private-sector crude oil producer. The company operates key oil and gas assets in Rajasthan, Gujarat and Assam and currently accounts for more than a quarter of India's domestic crude oil production. Vedanta has outlined plans to significantly expand production through fresh investments in exploration and development.

Vedanta Power Ltd will take over the group's power generation portfolio, which includes major thermal power plants such as Talwandi Sabo Power in Punjab and facilities in Jharsuguda, Meenakshi and Athena. With an operational capacity of nearly 4,800 MW, the company supplies electricity to industries and state utilities while also exploring future opportunities in cleaner energy sources.

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Vedanta Iron & Steel Ltd (VISL) will combine the group's iron ore mining operations across Goa, Karnataka and Odisha with its steel manufacturing business through ESL Steel. The company will also hold Vedanta's international iron ore assets and is expected to focus on value-added steel products and long-term infrastructure-led demand growth.

The parent Vedanta Ltd will continue as a separately listed entity and retain some of the group’s most valuable assets, including its stake in Hindustan Zinc, zinc international operations, copper business, ferrochrome division and emerging critical mineral ventures. The company has said its future focus will be on strategic and critical minerals.

What investors should know

Investors should note that all four newly listed stocks will initially trade in the Trade-for-Trade (T2T) segment for the first 10 trading sessions. During this period, intraday trading will not be allowed and all transactions will require compulsory delivery.

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For every one share of Vedanta Ltd held on the May 1, 2026 record date, shareholders will automatically receive one share each in the four newly demerged companies in their Demat accounts.

Why the demerger?

The demerger plan was first announced in September 2023 by billionaire industrialist Anil Agarwal as part of a broader strategy to unlock shareholder value and simplify the group’s complex corporate structure. The proposal originally envisioned six separate listed entities but was later streamlined into five businesses, including the residual Vedanta Ltd.

Market analysts have long argued that Vedanta suffered from a “conglomerate discount”, with investors largely valuing the company based on Hindustan Zinc while assigning limited value to its aluminium, oil and gas, power and steel businesses. By creating standalone companies with independent management teams and capital allocation strategies, the group expects better value discovery, greater operational flexibility and easier access to sector-specific investors.