Vedanta sees release of old encumbrances, new charges created for bonds

Axis Trustee Services Limited announced the full release of encumbrances on 2,204,724,753 equity shares of Vedanta Limited (VEDL), representing 56.38% of its total share capital, effective October 17, 2025. This release follows the repayment of facilities under an agreement dated December 13, 2023, as amended, previously disclosed on December 15, 2023, and February 7, 2024. The released encumbrances included non-disposal undertakings and negative liens.

Concurrently, Citicorp International Limited disclosed the creation of new encumbrances over VEDL shares held by Vedanta Holdings Mauritius II Limited (VHMLII) related to various senior bonds issued by Vedanta Resources Finance II plc. These include $900,000,000 10.875% Guaranteed Senior Bonds due 2029 and $300,000,000 10.875% Guaranteed Senior Bonds due 2029 (Tap Bonds), among others, as per supplemental trust deeds effective October 27, 2025.

The new encumbrances mean that VHMLII is restricted from creating further encumbrances or disposing of VEDL shares except under specific conditions. As of this disclosure, no pledge has been created by VHMLII over VEDL equity shares in relation to these bonds. This new encumbrance is in addition to existing encumbrances related to other bonds.