Vedanta Ltd's Demerger Delayed: Regulatory Objections and Governmental Scrutiny

The National Company Law Tribunal has postponed the hearing of Vedanta Ltd's proposed demerger to September 17, after the market regulator SEBI and the Central government raised objections. Originally scheduled for August 20, the hearing was deferred to allow more time to address various concerns.

SEBI informed the tribunal that it had verified Vedanta's compliance with applicable regulatory norms and had no further comments on the demerger scheme. The National Stock Exchange also confirmed issuing a no-objection certificate. However, the Ministry of Petroleum and Natural Gas requested additional time to provide further observations.

Vedanta's demerger plan, announced in September 2023, aims to create four independent listed companies to enhance operational efficiency and shareholder value. The deadline for completing the demerger has been extended to September 30, 2025, due to pending approvals from the NCLT and other government bodies.

(With inputs from agencies.)