Vedanta maintains control of Hindustan Zinc via debenture undertaking

Vedanta Limited has issued an updated disclosure under SEBI Takeover Regulations, reaffirming its commitment to maintaining control over its subsidiary, Hindustan Zinc Limited (HZL). This follows the issuance of unsecured, listed, rated, non-convertible, redeemable debentures of up to ₹5,000 crore. As per the Debenture Trust Deed (DTD) dated June 03, 2025, Vedanta is required to directly remain the legal and beneficial owner of 50.1% of HZL's share capital (on a fully diluted basis) and directly control HZL, while also being restricted from creating any security or disposing of this 50.1% stake.

This arrangement, which constitutes an "encumbrance" under Takeover Regulations, ensures Vedanta's continued influence over HZL. The disclosure also provides details of other existing encumbrances, including previous pledges and non-disposal undertakings related to various credit facilities, reaffirming Vedanta's financial strategies and commitments.