Vedanta Limited has announced the complete release of all encumbrances on its equity shares, effective October 27, 2025. This follows the full repayment of facilities under the Facilities Agreement. The encumbrances, previously disclosed on December 15, 2023, and related to agreements amended on January 25, 2024, are now fully lifted, providing increased financial flexibility for the company.
Share Encumbrance Release
All encumbrances created on Vedanta Limited’s (VEDL) equity shares, as per the terms of the Facilities Agreement, have been fully released, effective October 27, 2025. This action comes after the full repayment of facilities under the agreement.
Details of Previous Encumbrances
The encumbrances, previously disclosed on December 15, 2023 (“Earlier Disclosure”), were related to the facilities agreement dated December 13, 2023, which was amended and restated on January 25, 2024. The involved parties included Vedanta Resources Investments Limited (VRIL) and Vedanta Holdings Mauritius II Limited (VHMLII), collectively referred to as the “Borrowers.”
Implications of the Release
The release includes a non-disposal undertaking on shares held by VHMLII, and a negative lien on shares held or to be held by obligors, including Twin Star Holdings Limited (TSHL) and Welter Trading Limited (WTL). Promoter Group Entities, including TSHL, Finsider International Company Limited (FICL), VHMLII, Vedanta Holdings Mauritius Limited (VHML), Vedanta Netherlands Investment BV (VNIBV), and WTL, were restricted from creating encumbrances on VEDL shares. Vedanta Resources Limited (VRL) and its subsidiaries were required to maintain control over VEDL, owning at least 50.1% of its equity share capital. Restrictions on encumbrances by VRL group members on shares held in obligors such as TSHL and WTL have also been lifted.
Impact on Share Capital
Prior to the release, 2,204,724,753 shares, representing 56.38% of the total share/voting capital, were under encumbrance. With the release, all 2,204,724,753 shares are now free from encumbrances. The equity share capital and total voting capital of the company remains at 3,910,388,057 shares.
Source: BSE
