Promoter entity Vedanta plans to sell 1.6 percent stake in Hindustan Zinc through block deals on Wednesday with the total deal size pegged at around $350 million or Rs 3,018 crore, according to a term sheet seen by Moneycontrol.
Further, the floor price for the deal has been fixed at Rs 452.5, a discount of nearly 7 percent to Tuesday's closing price of Rs 485.95 on NSE. The term sheet further added that a total of 66.7 million equity shares will be on offer.
As per the latest shareholding information available on BSE, Vedanta owned 63.42 percent stake in Hindustan Zinc as on December 31, 2024.
Shares of the Hindustan Zinc lost more than 5 percent on Tuesday even as it announced that it is setting up integrated zinc metal complex at Rajasthan with capex of Rs 12,000 crore. Incidentally, the stock has been falling for the last five days and is down more than 8 percent in the period.
"This expansion aligns with the strong growth in demand both in India and globally over the next five years. The Board has approved the project for setting up new 250 ktpa integrated smelter at Debari along with mines & mills expansion across the mines. The project is targeted to be completed in a period of 36 months with an overall cost of Rs 12,000 crores," the company said in a release.
Meanwhile, the company, on June 11, had declared an interim dividend of Rs 10 per share, amounting to Rs 4,225 crore for the current fiscal year.
"The board of directors of the company, through a resolution passed by circulation on Wednesday... has approved the first interim dividend of Rs 10 per equity share i.e. 500 per cent on face value of Rs 2 per equity share for the financial year 2025-26," it said.
DAM Capital Advisors and Citi are managing the deal.
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