Vedanta Resources Disclosure on Share Encumbrance

Vedanta Resources Limited (VRL) has filed a disclosure under SEBI's Takeover Regulations concerning the creation of encumbrances on equity shares of its subsidiaries, including Vedanta Iron And Steel Limited (VISL). This action is related to the issuance of new senior bonds by VRL's subsidiary, Vedanta Resources Finance II PLC. The new bonds include US $125 million 7.000% Guaranteed Senior Bonds due 2032, US $50 million 7.375% Guaranteed Senior Bonds due 2034, and US $225 million 7.750% Guaranteed Senior Bonds due 2037. These 'Tap Bonds' are consolidated with previously issued 'Original Bonds'. The disclosure clarifies that while no direct pledge has been created on shares for these Tap Bonds, the terms and conditions of the bonds may constitute 'encumbrance' as defined by the regulations. VRL is required to maintain at least 50.1% control over VISL.