Vedanta Promoters Encumber Shares for $2.25B Facility
Vedanta Resources Limited (VRL), through its subsidiaries, has disclosed the creation of encumbrances on equity shares of Vedanta Limited (VEDL) as part of a US$2.25 billion facility agreement. The encumbrances are related to a loan facility where entities like Twin Star Holdings Ltd., Welter Trading Limited, Vedanta Holdings Mauritius Limited, Vedanta Holdings Mauritius II Limited, and Vedanta Netherlands Investments B.V. are involved as borrowers or guarantors. The agreement includes clauses that restrict the creation of further security over VEDL shares and require VRL Group to maintain at least 50.1% control. This disclosure is made in compliance with SEBI (SAST) Regulations, 2011, clarifying that no direct pledge has been created on VEDL shares.
Key Highlights
- Promoters encumber Vedanta Ltd shares for a $2.25 billion facility.
- Encumbrances are part of a loan agreement involving VRL and its subsidiaries.
- SEBI regulations mandate disclosure of these share encumbrances.
- VRL Group must retain at least 50.1% control over Vedanta Ltd.
- No direct pledge on Vedanta Ltd shares has been created.
Price Impact
More from VEDL