Vedanta Cuts Hindustan Zinc Shareholding To 63.42% Through Share Sale
Vedanta had earlier received a nod from the bourses to demerge its aluminium, oil and gas, power, steel and metal businesses into separate listed entities.
Vedanta Ltd.'s shareholding in its subsidiary Hindustan Zinc Ltd. fell to 63.42% after it offloaded a 1.51% stake through an offer for sale. The company sold 6.36 crore shares on Aug. 16 and Aug. 19, according to an exchange filing on Monday.
Last week, the Anil Agarwal-owned company approved the sale of a 1.22% stake comprising 5.14 crore shares through an OFS. The company had set the floor price at Rs 486 per share. Vedanta also said it will exercise the oversubscription option for a 0.29% stake, taking the overall size of the offer to 1.51%. From these, the company reserved 63 lakh shares for retail investors.
Vedanta had earlier received a nod from the bourses to demerge its aluminium, oil and gas, power, steel and metal businesses into separate listed entities. The demerger will assist in simplifying the company's corporate structure by creating independent businesses. It will also allow foreign investors to infuse money directly into these pure-play companies, boosting the country's economic growth.
Shares of Vedanta closed 3.19% higher at Rs 442.75, while the shares of Hindustan Zinc closed 4.65% lower at Rs 495.70 apiece on the NSE, compared to a 0.13% advance in the benchmark Nifty.
Vedanta's stock has risen 72.18% on a year-to-date basis and 88.93% in the last 12 months. Hindustan Zinc's shares have risen 55.71% YTD and it has grown 57.32% in the last year.
