Vedanta Resources denies stake sale in Vedanta Limited: Report

Vedanta shares closed marginally higher on Friday at ₹469.30, marking an 82% increase so far in 2024. This represents the stock's best calendar year performance since 2021, when its value doubled.

Vedanta Resources Ltd., the parent company of the Indian-listed entity Vedanta Ltd., has categorically denied any plans to sell a stake in its subsidiary. "Vedanta Resources strongly denies any plans to sell a stake in Vedanta Limited," a spokesperson for the company told CNBC-TV18.

The denial follows a report by the Economic Times on June 21, which claimed that Vedanta promoters were considering selling up to a 2.5% stake worth over Rs 4,000 crore in Vedanta Ltd. This report surfaced just a day after Vedanta Group Chairman Anil Agarwal stated in an exclusive interview with CNBC-TV18 that he did not intend to reduce his stake in the company further.

"We have 62% - 61 point something percent of holding of the company and we are comfortable. Any investment banker comes and gives me some idea, we will work on it. (But) at this point of time, there is nothing on the cards to take our holding down below 61.5%," Agarwal had said.

As of the March quarter, Vedanta's promoters held a 61.95% stake in the company. Since December 2022, the promoter stake in Vedanta has decreased from just under 70% to slightly over 60%. Agarwal also expressed confidence in the company's ability to manage its debt. "I think we are very comfortable to address the debt. We have a good cash flow and good dividend that should take care of all the debt payment of VRM," he added.

Vedanta shares closed marginally higher on Friday at Rs 469.30, marking an 82% increase so far in 2024. This represents the stock's best calendar year performance since 2021, when its value doubled.