Vedanta Limited has announced the full release of all encumbrances related to its Facilities Agreement, effective October 17, 2025. This action follows the complete repayment of facilities under the agreement. Axis Trustee Services Limited, acting on behalf of the Agent, confirmed the release, indicating that all conditions and arrangements have been met. The release includes a non-disposal undertaking on shares and negative liens, thus concluding the debt obligations.
Debt Obligations Concluded
Vedanta Limited (VEDL) announced that all encumbrances created under the Facilities Agreement have been fully released, effective October 17, 2025. This release follows the complete repayment of the facilities under the agreement. The initial disclosures regarding the creation of these encumbrances were made on December 15, 2023, and February 7, 2024.
Details of the Encumbrance Release
Axis Trustee Services Limited, acting on behalf of the Agent, confirmed the full release of the encumbrances. These encumbrances included a non-disposal undertaking on shares of VEDL held by Vedanta Holdings Mauritius II Limited (VHMLII) and negative liens on shares held by other obligors. The Facilities Agreement, initially dated December 13, 2023, and amended on January 25, 2024, involved various lenders and Vedanta Resources Investments Limited (VRIL), along with VHMLII.
Impact of the Release
The release means that previous restrictions, such as the inability of Promoter Group Entities to create encumbrances on shares and the requirement for Vedanta Resources Limited (VRL) to maintain control over VEDL, are now lifted. Specifically, this includes the release of charges on shares held by Twin Star Holdings Limited (TSHL), Welter Trading Limited (WTL), and Finsider International Company Limited (FICL). This action simplifies the company’s capital structure and removes previous financial constraints. The total number of shares released were 2,204,724,753, representing 56.38% of the share capital.
Source: BSE
