Vedanta Ltd Subsidiaries Create Encumbrance Over Shares for USD 350 Million Facility

Vedanta Ltd subsidiaries, Twin Star Holdings Ltd., Welter Trading Limited, Vedanta Holdings Mauritius Limited, Vedanta Holdings Mauritius II Limited, and Vedanta Netherlands Investments BV, have created an encumbrance over their shares in Vedanta Limited. This encumbrance is in relation to a facility agreement worth USD 350 million, executed with lenders including First Abu Dhabi Bank PJSC and Mashreqbank PSC. The agreement restricts the subsidiaries from creating any further encumbrance over the shares or acquiring new shares in Vedanta Limited. The VRL Group must retain control over Vedanta Limited and own at least 50.1% of its issued equity share capital. This encumbrance is likely to fall within the definition of 'encumbrance' provided under Chapter V of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.